US de minimis exemption suspension cuts UPS cargo volumes, prompting shift to high‑value
Based on · First reported
Sources
- The United States suspended its US$800 de minimis exemption for China and Hong Kong in May 2025 and for all countries in August 2025, immediately reducing cargo volumes, and UPS reported a 34.8 percent year‑over‑year drop in average daily volume for May and June 2025.
- UPS later returned to year‑over‑year volume growth on the China‑to‑US lane from May 2026, while focusing on premium, high‑quality freight and cutting lower‑margin Amazon business, which helped its forwarding revenue rise 8.1 percent in the second quarter; data‑centre components contributed 1.4 million tonnes of air cargo, growing 39 percent year on year and representing about 5 percent of global volumes, and high‑tech cargo added roughly 300,000 tonnes to the US market between April and November 2025, offsetting weakness elsewhere.
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