Hongkong Post announced Tuesday it will halt all U.S.-bound parcel services starting April 21, 2025, citing “unviable costs” from U.S. President Donald Trump’s 10% tariff on Chinese and Hong Kong imports, effective April 14, per South China Morning Post.
The decision, affecting 15% of Hong Kong’s $5 billion annual postal exports, follows the U.S. Postal Service’s suspension of China and Hong Kong inbounds, escalating a trade spat that’s raised shipping fees 20%, per DHL data.
The move disrupts e-commerce, with Hong Kong handling 10 million U.S.-destined packages yearly, 70% from small businesses, per HK Post figures. “We can’t absorb the tariffs,” said Postmaster General Lillian Cheung, urging exporters to seek alternatives like Singapore hubs.
China’s retaliatory tariffs on U.S. goods, including 15% on soybeans, have chilled trade, with Hong Kong’s GDP growth cut to 2.5% for 2025, per IMF forecasts. Retailers like AliExpress report 30% order drops, and analysts warn of job losses in Hong Kong’s 50,000-strong logistics sector, per HKTDIC.