DHL Express (DHLGY) announced it will temporarily suspend global business-to-consumer shipments worth over $800 to individuals in the United States starting April 21. The logistics giant blamed the halt on recent changes to US customs regulations that have significantly increased processing times at the border. The stock is up over 16% year-to-date, but this latest news will likely challenge that price momentum.
Details of Suspension
The new rules, which took effect April 5 as part of the Trump administration’s updated tariff policies, lowered the threshold for formal entry processing from $2,500 to $800. According to DHL, this change “has caused a surge in formal customs clearances,” which the company is now handling “around the clock.”
“While we are working to scale up and manage this increase, shipments worth over $800, regardless of origin, may experience multi-day delays,” DHL stated on its website. The company emphasized that the suspension is temporary until it adapts to the new requirements.
Not all shipments will be affected. Business-to-business deliveries worth more than $800 will continue, though DHL warns these may also face delays. Shipments under $800 to either businesses or consumers will proceed normally for now.
The suspension comes amid broader changes to US trade policies. On May 2, the White House plans to close a loophole known as the “de minimis” rule, which currently allows low-value packages under $800 from China and Hong Kong to enter the US without duties. The Trump administration claims these measures target “deceptive shipping practices by Chinese-based shippers, many of whom hide illicit substances, including synthetic opioids, in low-value packages.”
Business Impact
This policy shift has already prompted reactions from retailers. Fast-fashion company Shein and discount marketplace Temu have both warned customers that prices will increase “due to recent changes in global trade rules and tariffs” starting April 25. Last week, Hongkong Post suspended all US-bound sea shipments, accusing the US of “unreasonable bullying and imposing tariffs abusively.”
For DHL, the suspension likely means immediate revenue losses from high-value B2C shipments, which often carry better margins. If the situation persists, the company could face longer-term challenges, including damaged customer relationships and potential market share erosion as businesses seek alternative shipping solutions.
During its most recent earnings call, the company highlighted challenges with declining volume, cost pressures, and global trade volatility. This move will likely exacerbate all of these issues for the company.
DHL has not indicated how long the suspension will remain in place, leaving businesses and consumers to navigate an uncertain shipping landscape as the new tariff regime takes full effect.
