Hong Kong Suspends Postal Services for Goods to U.S. Amid Escalating Trade War

In a dramatic escalation of the ongoing trade conflict between the United States and China, Hong Kong announced on Wednesday, April 16, 2025, that it is suspending all postal services for goods shipped to the United States. The move, effective immediately for sea and land shipments and extending to airmail parcels from April 27, comes as a direct response to sweeping tariff increases imposed by U.S. President Donald J. Trump.

Background: Tariff Tensions and Policy Shifts

The suspension follows the Trump administration’s decision to eliminate the “de minimis” exemption, which previously allowed international parcels valued at $800 or less to enter the U.S. duty-free. Effective May 2, all goods shipped from Hong Kong to the U.S.—regardless of value—will be subject to tariffs as high as 145%, a dramatic increase from prior rates. The Hong Kong government has condemned the U.S. measures as “unreasonable, bullying, and abusive,” warning residents to expect “exorbitant and unjust fees” if they attempt to send goods by alternative means.

Scope and Impact

• Only shipments containing physical goods are affected; documents and letters will continue to be processed as usual.
• The suspension applies to all goods sent by sea and land immediately, and by air starting April 27.
• Businesses and individuals in both regions must now rely on private couriers such as FedEx, DHL, and UPS, which are expected to charge significantly higher rates, compounding the impact of the new tariffs.

Economic and Trade Ramifications

Hong Kong, long regarded as a global trade hub with minimal import duties and no sales tax, finds itself increasingly entangled in the broader U.S.-China trade war. The city’s unique status—separate from mainland China in terms of customs and trade—once allowed it to enjoy preferential treatment, but that special status was rescinded by the Trump administration in 2020 following Beijing’s imposition of a national security law.

The new U.S. tariffs, and Hong Kong’s retaliatory suspension, are expected to hit cross-border e-commerce particularly hard. Platforms like Shein and Temu, which rely on direct shipping of affordable goods from Hong Kong to American consumers, face immediate disruption. Small businesses and consumers on both sides of the Pacific will shoulder higher costs and longer delivery times, with some industries—such as electronics, textiles, and consumer goods—especially vulnerable.

Political and Legal Response

Hong Kong’s Chief Executive John Lee has announced plans to file a formal complaint with the World Trade Organization (WTO), arguing that the U.S. tariffs violate international trade rules. China’s central government has signaled its support and is preparing its own WTO challenge, further raising the stakes in an already volatile global trade environment.

Looking Ahead

The suspension of postal services for goods marks a new low in U.S.-Hong Kong trade relations. As both governments dig in, businesses and consumers must adapt to a landscape of higher costs, regulatory uncertainty, and shifting supply chains. The long-term implications remain uncertain, but the immediate effect is clear: cross-border commerce between Hong Kong and the United States faces its most significant disruption in decades.

“We are sorry to have to make this difficult decision. However, with the sudden changes and unreasonable tax rates from the U.S., maintaining normal postal services has become infeasible at this time,” a Hongkong Post spokesperson said.

As the world watches for the next move in this escalating trade conflict, the suspension of postal goods shipments stands as a stark reminder of the far-reaching consequences of tariff wars in a globalized economy.