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By Aliss Higham
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Hong Kong has announced it will suspend goods mail services to the U.S. with immediate effect due to Donald Trump's tariffs.
Why It Matters
Hong Kong, a special administrative region of China, has not escaped becoming increasingly entangled in the ongoing trade conflict between the U.S. and China. Despite choosing not to mirror Beijing's retaliatory move of imposing a 125 percent tariff on American imports, Hong Kong's exports are now facing the same 145 percent tariff that the Trump administration has imposed on goods from China.
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What To Know
In a press release, the Government of the Hong Kong Special Administrative Region said its postal service Hongkong Post will stop accepting packages transported by land and sea with immediate effect, and stop taking airborne packages starting on April 27.
It said the change was due to the White House eliminating "the duty-free de minimis treatment for postal items despatched from Hong Kong to the U.S. and increase the tariffs for postal items containing goods."
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The Trump administration previously announced it would eliminate a customs exemption that allowed small-value parcels from Hong Kong to enter the country tax-free. Starting May 2, these shipments will face a 120 percent tariff.
Mail only containing documents will not be impacted, the release said.
"For sending items to the U.S., the public in Hong Kong should be prepared to pay exorbitant and unreasonable fees due to the U.S.'s unreasonable and bullying acts," the statement reads.
Hong Kong has traditionally been recognized as a free and open international trade hub, with low import duties and no sales tax. The former British colony, which was handed back to China in 1997, has different trade and customs policies from mainland China, thanks to the semi-autonomous status granted by Beijing during the handover.
It previously had special trade status with the U.S., enabling its exports to benefit from reduced tariffs and a customs process distinct from that applied to goods from mainland China. However, Trump revoked this special trade status in 2020 during his first administration after Beijing imposed a national security law in the same year.
What People Are Saying
The Government of the Hong Kong Special Administrative Region said in the statement: "The U.S. is unreasonable, bullying and imposing tariffs abusively. Hongkong Post will definitely not collect any so-called tariffs on behalf of the U.S. and will suspend the acceptance of postal items containing goods destined to the U.S."
What Happens Next
Hong Kong is the first region to stop package services to the U.S. in light of Trump's tariff agenda. Whether other regions and countries follow suit remains to be seen.
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