Now, every package entering the U.S. comes with a need to submit an exact description of every component, including a 10-digit HTS code. Shippers and carriers are struggling to adjust.

CBP seizures of unsafe and non-compliant low-value goods have also increased by 82%, which have included counterfeit products, narcotics and faulty electronics.

The aim is to improve delivery times for customers throughout the region, and bring faster delivery to more rural communities.

Investors have grown more bullish in recent months on FedEx’s strategy, which the company estimates will produce $1 billion in permanent cost reductions in 2026.

Return rates have more than doubled since 2019, and will reach 17% this holiday season.

Letitia James alleges UPS withheld wages by failing to record all hours worked, requiring widespread off-the-clock labor, and manipulating timekeeping systems to reduce paid hours.

The EU also plans to enact a separate handling fee on low-value parcels in November of 2026, although negotiations on the specifics of that policy are still ongoing.

Expedited shipping isn’t a one-size-fits-all solution. Retailers first need to examine what’s being shipped, how much it’s worth, and what customers expect. 

The indication of a deal will bring relief to retailers and businesses that rely heavily on parcel delivery. Walkouts started twelve months ago.

“We can move our capacity far faster than manufacturing can move," said CEO Raj Subramaniam.