USPS says packages from China and Hong Kong will be accepted ...

The U.S. Postal Service on Wednesday halted an order to suspend incoming shipments from China that threatened to severely disrupt trade between the two major economies.

A day after announcing the suspension in the wake of President Trump's tariffs on China, the postal service said in an online update that it would "continue accepting all international inbound mail and packages from China and Hong Kong Posts."

It added it was working to "implement an efficient collection mechanism for the new China tariffs to ensure the least disruption to package delivery."

Letters and flats were not included in the suspension, the postal service said.

On Tuesday, Beijing announced it would counter Mr. Trump's new 10% tariff on Chinese goods with retaliatory tariffs of its own. China said starting next Monday it would implement a 15% tariff on coal and liquefied natural gas products along with a 10% tariff on crude oil, agricultural machinery and large-engine cars imported from the U.S.

Mr. Trump's tariff increase also eliminated a duty-free exemption for low-value packages coming from China. The "de minimis" exemption allows goods valued at $800 or below to come into the United States without paying duties or certain taxes.

But it has faced scrutiny due to a surge in shipments claiming the exemption in recent years.

U.S. officials pointed to the growth of Chinese-founded online retailers Shein and Temu as a key factor behind that increase — and Tuesday's halt had threatened to delay parcels from both companies from entering the country.

U.S. officials have also said the growth in shipments makes it harder to screen goods for security risks.

China slammed the U.S. suspension Wednesday, calling it "unreasonable suppression."

"As a matter of principle, I want to point out that we urge the United States to stop politicizing trade and economic issues and using them as tools, and to stop the unreasonable suppression of Chinese companies," foreign ministry spokesman Lin Jian told a regular press briefing when asked about the development. 

Mr. Trump says he plans to speak with Chinese President Xi Jinping in the coming days.

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