South Korea suspends parcel deliveries to U.S. amid end of duty-free rule

South Korea has suspended parcel deliveries to the U.S. as Trump's order to end a global tariff exemption for low-cost goods weighs on the country's cross border e-commerce sector.

Effective on Aug. 29, the order rules that imported goods sent through means other than the international postal network that are valued at or under 800 U.S. dollars and that would otherwise qualify for the de minimis exemption will be subject to all applicable duties.

Under the new rule, all incoming postal items — except letters and documents — must be declared and face a 15 percent tariff. At Gwanghwamun Post Office, one of Seoul's busiest postal service counters, a notice is prominently displayed, informing customers of the suspension of all normal parcel deliveries and non-document international express services to the U.S. due to U.S. tariff policy changes.

South Korean residents can still use EMS (Express Mail Service) or private courier companies to send deliveries, which are able to handle customs clearance. However, for parcels each weighing less than 4.5 kg, EMS charges are up to 20 percent higher than regular international express services. Coupled with the 15-percent tariff on small-value parcels, many households are facing higher costs.

"My cousin studies in the U.S. and I send him daily essentials via EMS once a month. This month, the cost is much higher than last month. It's a heavy burden." said a resident in Seoul.

Korea Post said it is working with U.S.-approved customs duty firms and aims to restore services close to previous levels within two months. However, for South Korea's cross-border e-commerce sector targeting the U.S. market, the impact may be long-lasting.

Two major Korean beauty e-commerce platforms and a large fashion retailer have announced that a 15 percent tariff would be applied to purchases from U.S. consumers.

With their products typically priced at between 15 and 20 U.S. dollars apiece, some small and medium-sized cosmetics brands are hard to maintain competitiveness in the U.S. market. Moreover, small and medium-sized companies in South Korea are expected to be hit hard by the tariff policy as they have limited risk resilience and market resources compared with large companies.

South Korea suspends parcel deliveries to U.S. amid end of duty-free rule

South Korea suspends parcel deliveries to U.S. amid end of duty-free rule

China's Minister of Commerce Wang Wentao outlined the key priorities of the 32nd Asia-Pacific Economic Cooperation (APEC) Ministers Responsible for Trade Meeting, which opened on Friday in Suzhou, East China's Jiangsu province.

In an interview with CGTN ahead of the two-day meeting, Wang said free trade, digital cooperation and green economy are high on the agenda of the meeting.

"The key areas include advancing regional economic integration and the Free Trade Area of the Asia-Pacific, supporting the World Trade Organization (WTO) in strengthening digital cooperation and developing green economy. At present, the international situation is marked by intertwined turbulence and chaos, with intensified geopolitical instability. The rise of unilateralism and protectionism poses serious challenges to the international economic and trade order, disrupting global and Asia-Pacific development. Against this backdrop, all parties have higher expectations for this trade ministers' meeting, hoping that it can build consensus and deliver outcomes," Wang said.

This year marks China's third time hosting the APEC meetings and the 35th anniversary of its membership.

By 2025, China had become the largest trading partner of 13 APEC economies. Trade between China and APEC economies reached 3.7 trillion U.S. dollars, accounting for 57.8 percent of China's total foreign trade.

China has signed 24 free trade agreements or economic and trade arrangements with 31 countries and regions, including 15 APEC economies. In recent years, China has also completed upgrades of free trade agreements with APEC economies such as Singapore and Peru.

The minister said that China has always been a firm supporter and an important contributor to APEC.

"We have actively shared our vast market and development opportunities with all parties. China's door to the world will only open wider and wider. Facing the common challenges, China will continue to fulfill its responsibilities as a major country, further deepen reform, expand high-standard opening-up, and continue to provide new opportunities for the Asia-Pacific region and the world with its new achievements in Chinese modernization," the minister said.

China's Commerce Minister outlines priorities for 32nd APEC trade ministers' meeting