ST GEORGE’S, Grenada (CMC) — Grenada has become the latest Caribbean Community (Caricom) country to suspend the shipment of all small parcels and packages valued up to US$800 to the United States (US) due to new regulations announced by the Trump administration.

The new measures go into effect as of Friday and the Grenada Postal Corporation (GPC) said that the new regulations end the duty-free exemption on items under US$800 which now requires prepaid customs duties and complex electronic filings.

“GPC is working closely with international partners to restore service as soon as possible,” it said, adding that letters without goods will be accepted.

Last month, President Trump signed an executive order which eliminates the exemption for international shipments worth US$800. The order states that purchases that previously entered the North American country without needing to clear customs will require vetting and be subject to their origin country’s applicable tariff rate, which can range from 10 to 50 per cent.

In the Caribbean region, Antigua and Barbuda, Jamaica, St Vincent and the Grenadines, the Bahamas and several other postal services have also announced the suspension of sending all parcels and packets bound for the United States.

Antigua and Barbuda said the new regulations “introduce complex customs processing requirements and new tariff structures that have not been fully clarified by US authorities”.

“As a result, postal operators worldwide, including ours, are unable to guarantee compliance with the new protocols and must pause shipments until further guidance is received. We join other countries, including the United Kingdom, Canada, India, France, Spain, and our fellow Caribbean countries, in temporarily suspending shipments containing goods to the US now subject to US Customs import duty.”

Internationally, several courier services and airlines have also announced a halt to transporting parcels and packages to the US.

The Trump administration says the exemption has become a loophole that foreign businesses exploit to evade tariffs and criminals use it to get drugs, counterfeit products and other contraband into the country.

Called de minimis exemption, it allows goods valued at US$800 or less to enter the US without paying any tariffs. US consumers relied on the exemption to buy cheap clothes and household items from online shopping sites.

Hundreds of Grenadians shop online and their goods come to Grenada through the GPC.