DHL Freezes Global Packages Over $800 Headed to US Consumers

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DHL Freezes Global Packages Over $800 Headed to US Consumers
The headquarters of Deutsche Post AG, the world's largest global delivery company is pictured on March 14, 2006 in Bonn, Germany. Ralph Orlowski/Getty Images/Getty Images

DHL Express, a global logistics giant, has announced it will suspend shipments valued over $800 from businesses to consumers in the United States starting April 21.

The decision comes in response to new US customs regulations that have led to significant delays in clearance for packages worth more than $800.

The company explained in a statement that the US Customs' recent change lowered the threshold for parcels requiring formal entry processing from $2,500 to $800 as of April 5, Reuters said.

This has resulted in a surge in clearance requests, which DHL is struggling to process promptly. As a result, the company has temporarily halted global business-to-consumer shipments over $800.

While consumer shipments are suspended, DHL clarified that business-to-business shipments would not be halted. However, these shipments may still face delays due to the heightened customs clearance requirements.

Additionally, shipments valued below $800, whether for businesses or consumers, will continue without disruption.

DHL referred to this move as a "temporary measure" and assured customers that it is working to adapt to the new customs regulations.

The company also emphasized its commitment to processing shipments from Hong Kong to the US "in accordance with applicable customs rules and regulations" and to assisting customers with the changes.

DHL Suspends Shipments Over $800 to US Amid New Customs Rules

The change in US customs policy follows a broader shift in the Trump administration's trade strategy, including a heightened focus on reducing the trade deficit with China.

As part of these efforts, the US government recently canceled the duty-free exemption for small packages coming from China, which affects online retailers like Temu and Shein.

DHL noted that these changes have created a backlog of packages requiring formal customs clearance, leading to delays.

According to Inquirer, the company acknowledged the pressure of managing this influx of shipments, stating, "We are handling customs clearances around the clock."

For consumers, the suspension means delays or cancellations of orders for goods worth over $800.

The impact will be most felt by online shoppers purchasing from international businesses, where many products exceed the $800 threshold.

Business customers, however, can expect some delays, but not a full suspension of their shipments. DHL indicated that they would continue working with affected businesses to ensure minimal disruptions.

This development follows a similar move by Hongkong Post, which recently suspended its mail services for goods shipped by sea to the US in protest of the canceled tariff-free trade provisions for packages from China and Hong Kong.

The ongoing changes and uncertainties in global trade continue to challenge the logistics industry, with DHL's temporary suspension highlighting the ripple effects of shifting US customs rules.

As of now, DHL has not provided a timeline for when the suspension of shipments over $800 will end. The company said it is "monitoring the situation closely" and will update customers as needed.

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