New Delhi: India is set to resume its postal parcel services to the United States this week, nearly two months after the operations were suspended due to changes in U.S. import regulations. The decision comes as a major relief for exporters, small businesses, and e-commerce traders who rely on India Post’s international delivery network to reach American consumers.
The temporary suspension, which began in August, followed Washington’s move to end the long-standing “de minimis” exemption that had allowed shipments valued under $800 to enter the United States duty-free. Under the new American policy, customs duties must be collected in advance for all goods regardless of their declared value entering the country. This sudden regulatory change disrupted postal operations from India, as the mechanism for collecting and remitting U.S. duties was not immediately in place.
In response, India’s Department of Posts has now developed a new framework that will enable duty collection at the point of origin before parcels are dispatched to the United States. Officials confirmed that the applicable tariff for such shipments would be fixed at 50 percent of the declared value, ensuring uniformity and transparency in customs procedures. The revised system will officially take effect on Wednesday, allowing postal transactions between India and the U.S. to resume without further delay.
The restoration of postal links holds particular importance for India’s micro, small, and medium enterprises (MSMEs), handicraft exporters, and online traders who depend heavily on the affordable logistics offered by India Post. Many of these businesses suffered losses and delays during the suspension period, with thousands of parcels left undelivered or returned due to regulatory uncertainty. The new mechanism aims to streamline the customs process, reduce complications at the U.S. border, and restore trust among exporters and consumers alike.
The timing of the resumption is also significant, coming just ahead of a scheduled meeting between senior Indian and U.S. trade officials in Washington later this week. The dialogue is expected to address broader trade frictions, including tariff hikes by the U.S. on certain Indian goods and New Delhi’s increasing oil imports from Russia. By reinstating postal operations in compliance with U.S. regulations, India signals its willingness to maintain constructive trade engagement while safeguarding the interests of its domestic exporters.
The U.S. Customs and Border Protection (CBP) agency had previously cited an overwhelming rise in small-value imports as one of the key reasons for reforming the de minimis rule. Reports indicate that low-value parcel entries grew from 134 million in 2015 to more than 1.36 billion in 2024 an exponential increase driven largely by global e-commerce. The surge raised concerns over lost customs revenue and product safety, prompting Washington to tighten import oversight.
With the revised system in place, both countries are expected to benefit from greater regulatory clarity. While Indian exporters will need to adapt to the additional cost of prepaid duties, the resumption of postal channels ensures continuity of trade and connectivity between the two major economies. The new arrangement also underscores the evolving dynamics of global trade, where digital marketplaces and small-scale shipments are increasingly at the center of policy debates.
India Post confirmed that all operational and technical arrangements have been finalized, and U.S.-bound postal services will be fully functional from mid-October. The department expressed confidence that the upgraded process will prevent future disruptions, making international postal transactions smoother and more compliant with emerging trade norms.