HONG KONG (TNND) — Hong Kong's postal service will stop shipping packages "containing goods destined to the U.S." as part of another retaliatory measure against tariffs put in place by the Trump administration, the government said Wednesday.

The government cited President Donald Trump's decision to eliminate the "duty-free de minimis treatment for postal items dispatched from Hong Kong to the U.S. and increase the tariffs for postal items containing goods to the U.S."

The de minimis exemption allowing shipments less than $800 to go tax-free was set to expire on May 2, and a 30% tariff would go into effect. Now, Trump's latest executive order hiked rates to 120%.

"The US is unreasonable, bullying and imposing tariffs abusively,” a statement read. "The public in Hong Kong should be prepared to pay exorbitant and unreasonable fees due to the US’s unreasonable and bullying acts."

Mail containing only documents will continue to be accepted.

Government officials warned residents in Hong Kong will have to pay "exorbitant and unreasonable fees due to the US's unreasonable and bullying acts."

Hong Kong, is caught in the middle of the trade disputes between the U.S. and China despite being a free port.

The former British colony, which returned to Chinese rule in 1997, has trade and customs policies different from mainland China's, under the semi-autonomy granted by Beijing during the handover. But Washington began treating it as part of China after Beijing imposed a national security law in 2020, and has applied the 145% tariffs imposed on Chinese imports.

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Editor's note: The Associated Press contributed to this article.