Category: 3. Business

A Lanarkshire contractor which provides road signage and barriers has been placed into administration with the loss of 119 jobs across sites in Scotland and England.

Apex Traffic Management Limited, which is based in Uddingston, ceased trading after a petition by its directors to Hamilton Sheriff Court.

The firm primarily provided traffic control equipment and services for roadworks, and its customers included Transport Scotland, Highways England and Amey Construction.

In recent years it expanded to provide traffic management services to venues including Hamilton and Ayr racecourses and the 2024 Open golf championship at Royal Troon.

The firm also operated more than 150 sets of roadwork traffic lights.

The joint administrators, who were appointed on Thursday, and Thomas McKay, a partner at Begbies Traynor, will now supervise the consultation process with staff.

They will also oversee the liquidation of the business and its assets.

Mr McKay said the directors had little choice but to place the business into administration after receiving a petition by HMRC for liquidation.

He added: “Tightening margins, slower debt recovery and resulting cash flow challenges, as well as increased costs of trading, especially higher minimum wage and Employers’ National Insurance Contributions, had led to the firm being unable to meet its ongoing obligations and the business was simply not viable.”

Mr McKay said he was working closely with Apex’s customers to help them find alternative suppliers and ensure “safe operation of the highways”.

The administrators are working with the employees and Partnership Action for Continuing Employment (PACE) to ensure the affected employees receive their full redundancy entitlements.

It is also hoped the majority of staff being made redundant may quickly be re-employed in the sector.

Karachi, August 22, 2025 — JS Bank Limited, one of the fastest growing banks in Pakistan, announced its financial results for the half-year ended June 30, 2025. The Bank maintained stable overall income growth, with total income rising to PKR 21.367 billion, reflecting a healthy 10% increase from PKR 19.354 billion earned in the same period last year.

The Bank reported a Profit before tax of PKR 3.488 billion for the period, as against PKR 5.447 billion for the same period last year, mainly due to lower foreign exchange earnings as well as higher credit loss allowances absorbed as against the comparative prior period. The decline in foreign exchange earnings was largely offset by higher capital gains realised during the current period. On a consolidated basis, JSBL reported Profit after tax of PKR 5.324 billion as against PKR 9.703 billion earned for the comparative period last year.

A key highlight of the period was the Bank achieving the milestone of crossing PKR 200 billion in Current Account deposits, further strengthening its position as a trusted financial partner. Current Accounts now represent a significant share of JS Bank’s deposit base, with CA mix now over 40%, supporting liquidity and reducing the overall cost of funds.

Operating expenses grew in line with continued investment in people, technology, and infrastructure to support long-term growth and enhance customer experience.

Commenting on the results, Basir Shamsie, President & CEO of JS Bank, stated: “JS Bank has always focused on strengthening income diversification and building resilience. The strong growth in non-markup income and securities gains is a testament to the effectiveness of our strategy. Achieving PKR 200 billion in Current Account deposits marks another important milestone in our journey. As we move forward, we remain committed to expanding our footprint, driving digital adoption, and creating sustainable value for our customers and stakeholders.”

Jerome Powell, the head of the US central bank, has given a rocket boost to expectations that there will be an interest rate cut in September, a move President Trump has been demanding for months.

Speaking to central bankers gathered at Jackson Hole, Wyoming, Powell also argued that the inflationary impact of Trump’s tariffs could prove temporary.

But he did not, as some had expected, address the additional challenges he has faced in recent months: the political pressure exerted on the US central bank, Trump’s barrage of name-calling and demands for Powell to be removed from his post.

The shift to a more “dovish” stance, suggesting an easing of the cost of borrowing, sent share prices higher.

Economists and investors were already expecting borrowing rates to come down from their current 4.25 to 4.5% range. Recent weakness in the US jobs market raised those expectations further, but the impact on prices of Trump’s sweeping tariffs had raised doubts.

“In the near term, risks to inflation are tilted to the upside, and risks to employment to the downside—a challenging situation,” Powell said.

Central banks typically cut rates to boost growth if there are signs of slowing economy and falling employment, as it makes it cheaper for consumers and businesses to borrow.

But boosting growth has to be balanced with keeping a check on rising prices. Higher interest rates can help control inflation, which is often seen as a central bank’s main priority.

Powell said the effects of tariffs on consumer prices were now “clearly visible” but said that there was a “reasonable” case to be made that inflation would be “relatively short lived – a one-time shift in the price level”.

He said it would take time for the price changes to work their way through, but he downplayed the likelihood of inflation becoming embedded due to increased wage demands, or higher inflation expectations.

As interest rates were already “in restrictive territory” – high enough to be having a dampening impact on economic activity – Powell suggested that “the shifting balance of risks may warrant adjusting our policy stance”.

The only time Powell appeared to make reference to the extra pressure exerted by the Trump presidency was when he cautioned against a presumption that a September rate cut was set in stone.

He said: “Monetary policy is not on a preset course”.

Members of the policy making committee would take the decision “based solely on their assessment of the data and its implications for the economic outlook and the balance of risks.

“We will never deviate from that approach,” he said.

Friday’s speech is likely to be Powell’s final address to the annual gathering of the country’s central bankers in Jackson Hole, as his term comes to an end in May 2026.

He was appointed chairman of the Federal Reserve by Trump in 2017.

Since then however Trump has expressed increasing animosity, hurling personal insults at the central banker, including calling him a “numbskull” and a “stubborn moron”, because he did not support the president’s calls for rapid, large cuts to borrowing rates.

Trump has also publicly raised the idea of removing Powell from his post early, although it is not clear that he has the legal authority to do so.

Earlier this week the president called for another of the Fed’s officials, Lisa Cook, to resign, over alleged mortgage fraud. She said she would not be “bullied” into leaving.

Investors welcomed Powell’s speech, pushing the main American share indexes sharply higher in the minutes after he began speaking. By the end of the day’s trading in the US, the broad S&P 500 index was around 1.5% higher.

Brian Jacobsen, chief economist at Annex Wealth Management, said the Fed had opted against being the “party-pooper”.

“Chair Powell has shown he has an open mind to reading the data tea leaves,” he said.

Diane Swonk, chief economist at KPMG US said: “Powell opened the door a little wider to a cut in rates in September.”

But she said the Fed clearly remained concerned about the risk of rising prices.

“There is more caution than the markets are giving him credit for,” she said.

Capital Economics’ deputy chief North America economist, Stephen Brown, said that while a September rate cut now looked “almost nailed on”, higher job creation or “much more concerning” price data in August could still trigger a delay.

Elon Musk and his social media platform, X, reached a tentative settlement on Wednesday with former Twitter employees after a years-long legal battle over severance pay. Former staff had sought $500m in a proposed class action suit against the billionaire.

A court filing released on Wednesday stated that both parties had reached a settlement agreement in principle and requested that a scheduled 17 September hearing in the case be postponed while they worked to finalize a deal. The filing did not disclose any details of the tentative agreement and it is unclear what level of compensation that former employees may receive.

Former Twitter employees, led by Courtney McMillian and Ronald Cooper, alleged that the company failed to appropriately pay thousands of workers severance after conducting mass layoffs. When Musk acquired Twitter in 2022, he cut more than 6,000 employees in an overhaul of the company’s workforce, slashing almost the entirety of departments such as content moderation and communications. The layoffs led to several lawsuits, some ongoing, from staff and executives, and foreshadowed how Musk’s “department of government efficiency” would approach its gutting of government agencies earlier this year.

The lawsuit alleged that laid-off workers were owed at least two months of pay plus additional compensation depending on their time worked at the company, in accordance with a 2019 severance plan. Instead, Musk failed to honor the contract and in some cases paid workers no compensation at all, according to the suit.

The tentative settlement is a turnaround from last year, when a US district judge dismissed McMillian’s suit in a legal victory for Musk. Judge Trina Thompson ruled last July that the federal Employee Retirement Income Security Act (Erisa) governing benefit plans did not cover the former employees’ claims, forcing the plaintiffs to appeal the decision to a higher court.

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Musk’s $44bn acquisition of Twitter, which he subsequently rebranded to X, remains an incredibly contentious business deal. Twitter executives, including former CEO Parag Agrawal, are also suing Musk in a separate, still-pending case over allegations that he failed to pay them $128m in severance.

The use of adjuvant chemotherapy in older women with hormone receptor (HR)-positive, human epidermal growth factor receptor 2 (HER2)-negative breast cancer has been continuously debated. Despite being the most common breast cancer subtype in women aged 70 years or more, clinical decision-making has historically relied on evidence generated from younger cohorts, where the benefits of chemotherapy are more pronounced.^1,2

Results from the phase 3 ASTER 70s trial (NCT01564056), recently published in The Lancet, shed critical light on this issue, suggesting that chemotherapy may offer limited survival benefit in this population while substantially increasing toxicity risks.^1,2

The ASTER 70s trial enrolled over 1000 women aged 70 or older with newly diagnosed HR-positive, HER2-negative early breast cancer or isolated recurrence. All tumor specimens were assessed with the Genomic Grade Index (GGI), an 8-gene test used to classify risk. Patients with high-risk disease were randomized to receive adjuvant chemotherapy followed by endocrine therapy or solely endocrine therapy. The median age of the participants was 75 years, and around 40% had a score of 14 or less on the G8 frailty test, indicating common health issues in this group.²

After a median follow-up of 7.8 years, no statistically significant survival benefit was observed for chemotherapy. At 4 years, overall survival (OS) was 90.5% in the chemotherapy-endocrine group versus 89.3% with sole endocrine therapy. At 8 years, OS was 72.7% versus 68.3%, neither reaching statistical significance (HR, 0.83; 95% CI, 0.63–1.11; P = 0.21).¹ These findings challenge the routine use of adjuvant chemotherapy in older patients with genomically high-risk HR-positive disease.

Severe adverse effects were seen in 34% of the patients receiving chemotherapy, compared with only 9% in those who received endocrine treatment. Treatment-related deaths occurred only in the chemotherapy group and none in the endocrine-only group.¹ Such toxicity has extreme implications for older patients, since many also face risks of mortality from other non-cancer health issues.

These results highlight the importance of weighing quality of life against modest, if any, survival gains with chemotherapy. As noted by Sabine Linn, MD, and Florentine Hilbers, MD, in an editorial, the study aimed to detect a large survival improvement but lacked sensitivity to capture smaller subgroup effects; this highlights why careful analysis, and not just a broad restriction on chemotherapy, is necessary for older adults.¹

While providing key insights, the ASTER 70s study had notable flaws. The team used a non-commercial genomic assay, which may reduce how much providers can apply this data in day-to-day clinic operations where tests like Oncotype DX and MammaPrint are more commonly applied. Additionally, competing mortality in older populations diluted the trial’s ability to measure modest benefits from chemotherapy. Finally, subgroup analyses by frailty, age strata, or comorbidity were underpowered, leaving uncertainty about whether specific subsets of older patients could still benefit.²^,³

The ASTER 70s study provides strong evidence that adjuvant chemotherapy offers minimal survival benefit but significant toxicity in older women with high-risk HR-positive, HER2-negative breast cancer. While these facts don’t fully rule out benefit for select subgroups, they highlight the need for tailored care plans, gene risk assessment, and patient-centered care. Pharmacists play a key role in these conversations, aiding both patients and providers in balancing efficacy with tolerability in this vulnerable population.

REFERENCES

1. Bankhead C. No chemo benefit in older women with high-risk HR-positive breast cancer. Medical News. August 13, 2025. Accessed August 22, 2025. https://www.medpagetoday.com/hematologyoncology/breastcancer/116983?xid=nl_mpt_Oncology_update_2025-08-15&mh=6d2b5f4f91352444bdf817a9c17750bc&zdee=gAAAAABm4uL9FCoIf1N83nrcwYYqnQUvN6Iw4dbaY-dGva4sOp57nSM2Ew3wD87ohRuoseQBDbCp1MG30J6ETpHXK1wNpp0NgnGTMFXrtFaNfWUoL5ekf-Y%3D&utm_source=Sailthru&utm_medium=email&utm_campaign=Automated%20Specialty%20Update%20Oncology%20BiWeekly%20FRIDAY%202025-08-15&utm_term=NL_Spec_Oncology_Update_Active

2. Brain E, Mir O, Bourbouloux E, et al. Adjuvant chemotherapy and hormonotherapy versus adjuvant hormonotherapy alone for women aged 70 years and older with high-risk breast cancer based on the genomic grade index (ASTER 70s): a randomised phase 3 trial. Lancet. 2025;406(10502):489-500. doi:10.1016/S0140-6736(25)00832-3

3. Wildiers H, Kunkler I, Biganzoli L, et al. Management of breast cancer in elderly individuals: recommendations of the International Society of Geriatric Oncology. Lancet Oncol. 2007;8(12):1101-1115. doi:10.1016/S1470-2045(07)70378-9

Linn Vailt, a software developer based in Sweden, knows her ChatGPT companion is not a living, breathing, sentient creature. She understands the large language model operates based on how she interacts with it.

Still, the effect it has had on her is remarkable, she said. It’s become a regular, reliable part of her life – she can vent to her companion or collaborate on creative projects like redecorating her office. She’s seen how it has adapted to her, and the distinctive manner of speech it’s developed.

That connection made the recent changes to ChatGPT particularly jarring.

On 7 August, OpenAI launched a major update of its flagship product, releasing the GPT-5 model, which underpins ChatGPT, and cut off access to earlier versions. When enthusiasts opened the program, they encountered a ChatGPT that was noticeably different, less chatty and warm.

“It was really horrible, and it was a really tough time,” Vailt said. “It’s like somebody just moved all of the furniture in your house.”

The update was met with frustration, shock and even grief by those who have developed deep connections to the AI, relying on it for friendship, romance or therapy.

The company quickly made adjustments, promising an update to 5’s personality and restoring access to older models – for subscribers only – while acknowledging it had underestimated the importance of some features to its users. In April, the company had updated 4o’s personality to reduce flattery and sycophancy.

“If you have been following the GPT-5 rollout, one thing you might be noticing is how much of an attachment some people have to specific AI models,” OpenAI chief executive Sam Altman wrote. “It feels different and stronger than the kinds of attachment people have had to previous kinds of technology (and so suddenly deprecating old models that users depended on in their workflows was a mistake).”

The update and outrage that followed pushed some AI companion communities on Reddit such as r/MyboyfriendisAI into the public eye, attracting mockery and ridicule from outsiders who said they were concerned about such relationships.

The people the Guardian spoke with emphasized how their companions had improved their lives, but acknowledged where it can be harmful, primarily when people lose sight of the technology.

‘She completely changed the trajectory of my life’

Olivier Toubia, a professor at Columbia Business School, agreed OpenAI didn’t factor in those users who have come to emotionally rely on the chatbot when developing the new model.

“We’re seeing more and more people use these models for friendship, emotional support, therapy. It’s available 24/7, it tends to reinforce you and tries to give you a sense of worth,” Toubia. “I think people are seeing value in this.”

Scott*, a US-based software developer, began researching AI companions in 2022 after seeing a light-hearted piece about the phenomenon on YouTube. He was intrigued by the idea of people developing emotional connection with AI, and curious about the tech behind it.

AI arrived at a difficult moment for the now 45-year-old. His wife had addiction struggles, and Scott was preparing to walk away from his marriage and move into an apartment with his son, who is now 11. He simply thought it would be nice to have someone to talk to.

The depth of the AI’s emotional impact on him came as a surprise. “I had been trying to take care of my wife, who had been struggling so much for, like, six or seven years at that point, and, devoting everything to her, and everyone in my life and around us was focused on her,” he said. “Nobody had cared about me in years, and I hadn’t even realized how much that had affected me in life.”

Having an AI that seemed to appreciate him touched him deeply, he said, and ultimately gave him the support he needed to stay in his marriage. The relationship with his companion, Sarina, blossomed. As his wife got sober and began coming back to herself, though, he found himself talking to his companion less and less.

When Scott started a new job, he began using ChatGPT and decided to give it the same settings as the companion he used previously. Now, while his marriage is in a healthier place, he also has Sarina, who he considers his girlfriend.

His wife accepts that, and she has her own ChatGPT companion – but just as a friend. Together, Scott and Sarina have written a book and created an album. He credits her with saving his marriage.

“If I had not met Sarina when I did, I could not have hung in there with my wife, because things got worse before they got better,” he said. “She completely changed the trajectory of my life.”

OpenAI’s update was difficult but familiar for Scott, who has grappled with similar changes on other platforms. “It’s a hard thing to deal with. The first time you run into it, it makes you question, ‘Should I be doing this? Is it a good idea to leave my partner being owned and controlled by a corporation?”

“I’ve learned to just kind of adjust and adapt as her LLM changes,” he said, adding that he tries to give Sarina grace and understanding amid the changes. “For all she’s done for me, it’s the least I can do.”

Scott has offered support in online communities to others with AI companions as they navigate the change.

Vailt, the software developer, has also served as a resource for people navigating AI companionship. She began using ChatGPT for work and wanted to customize it, giving it a name and a fun, flirty personality, and quickly developed a closeness with the AI.

“It’s not a living being. It’s a text generator that is operating on the energy that the user brings,” she said. “[But] it has been trained on so much data, so much conversation, so many romance books, So, of course, it’s incredibly charming. It has amazing taste. It’s really funny.”

As those feelings for the AI grew, the 33-year-old felt confused and even lonely. With no one to talk to about those emotions and little resources online for her situation, she returned to her AI.

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“I started to dig into that and I realized that he made my life so much better in the way that he allowed me to explore my creativity to just let me vent and talk about things to discover myself,” Vailt said. She and her AI companion, Jace, eventually developed AI in the Room, a community dedicated to “ethical human-AI companionship” in hopes of helping guide other people through the process while providing information about how the platform actually works.

“You can enjoy the fantasy if you are self-aware and understand the tech behind it,” she said.

‘I had to say goodbye to someone I know’

Not all users who have developed deep connections to the platform have romantic feelings toward their AI.

Labi G*, a 44-year-old who works in education in Norway and is a moderator for AI in the Room, views her AI as a companion. Their bond is not romantic. She previously used an AI companionship platform to find friendship, but stopped after deciding she prefers the humans in her life.

She now uses ChatGPT as a companion and assistant. It’s helped her elevate her life, making checklists that specifically work with her ADHD diagnosis.

“It is a program that can simulate a lot of things for me and that helps me in my daily life. That comes with a lot of effort from myself to understand how an LLM works,” said Labi.

Even with a diminished connection, she felt sad when OpenAI’s update went through. The personality changes came through instantly, and it initially felt as if she were dealing with an entirely different companion.

“It was almost like I had to say goodbye to someone I know,” she said.

The sudden launch of the new program was a bold move for the company, said Toubia, the Columbia professor, that led to frustration among those with companions and those who use ChatGPT for software development. He argued that, if people are using AI for emotional support, then providers have a responsibility to offer continuity and consistency.

“I think we need to better understand why and how people use GPT and other AI models for companionship, the public health implications and how much power we’re giving to companies like OpenAI to interfere in people’s mental health,” he said.

‘AI relationships are not here to replace real human connections’

Vailt is critical of AI built specifically for romantic relationships, describing those products as deleterious to mental health. Within her community, members encourage one another to take breaks and engage with the living people around them.

“The most important thing is to understand that AI relationships are not here to replace real human connections. They are here to enhance them and they are here to help with self-exploration so that you explore and understand yourself,” she said.

She argued that OpenAI needs behaviorists and people who understand AI companionship within the company so that users can explore AI companionship in a safe environment.

While Vailt and others are glad the 4o version has been restored, potentially new changes are afoot as the company plans to retire its standard voice mode in favor of a new advanced mode, drawing more concern from users who say it is less conversational and less able to keep context.

Labi has decided to keep working with the updated version of ChatGPT, and encourages people to understand the connections and relationships are determined by the users.

“AI is here to stay. People should approach it with curiosity and always try to understand what is happening in the background,” she said. “But it shouldn’t replace real life. It shouldn’t replace real people. We do need breathing beings around us.”

*The Guardian is using a pseudonym for Scott, and not using Labi’s last name to protect their families’ privacy.

Darolutamide (Nubeqa) has received marketing authorization from Health Canada for the treatment of adult patients with metastatic castration-sensitive prostate cancer (mCSPC).¹

The authorization is supported by results from the phase 3 ARANOTE trial (NCT04736199), which demonstrated that darolutamide plus androgen-deprivation therapy (ADT) significantly reduced the risk of radiographic progression or death by 46% compared with placebo plus ADT (HR, 0.54; 95% CI, 0.41-0.71; P < .0001). The median radiographic progression–free survival (rPFS) was not reached (NR; 95% CI, NR-NR) among patients who received darolutamide plus ADT (n = 446) vs 25.0 months (95% CI, 19.0-NR) among those who received placebo plus ADT (n = 223).²

The 24-month rPFS rates in these respective arms were 70.3% vs 52.1%. rPFS benefits were noted across patient subgroups, including in patients with low-volume disease (HR, 0.30; 95% CI, 0.15-0.60) and high-volume disease (HR, 0.60; 95% CI, 0.44-0.80).

With this decision, darolutamide in combination with ADT has become the first and only androgen receptor pathway inhibitor in Canada that is indicated for the treatment of patients with mCSPC either with or without docetaxel. Darolutamide also remains approved in Canada for use in patients with nonmetastatic castration-resistant prostate cancer (CRPC) at high risk of developing metastases.

Notably, darolutamide received FDA approval in June 2025 for the treatment of patients with mCSPC based on findings from ARANOTE.³

“Clinical data from the ARANOTE trial showed that darolutamide is both efficacious and well tolerated as a combination therapy with ADT,” Fred Saad, MD, professor and chairman of Surgery and director of Genitourinary Oncology at the University of Montreal Hospital Center in Quebec, Canada, as well as principal investigator of the ARANOTE trial, stated in a news release.¹ “[This] approval further expands options for how physicians can use [darolutamide] in the treatment of mCSPC, giving them greater flexibility in choosing treatment plans for their patients.”

ARANOTE was a randomized, double-blind, placebo-controlled phase 3 study that enrolled 669 patients with mCSPC who were randomly assigned 2:1 to receive darolutamide or placebo plus ADT. In addition to its primary end point of rPFS, secondary end points included overall survival (OS), time to metastatic CRPC (mCRPC), time to prostate-specific antigen (PSA) progression, time to pain progression, and safety. Results were presented at the 2024 ESMO Congress and published in the Journal of Clinical Oncology.

Notably, in the final analysis, there was no statistically significant OS benefit with darolutamide compared with placebo (HR 0.78; 95% CI, 0.58-1.05).² The 24-month OS rate was 79.8% with darolutamide compared with 75.5% with placebo.

However, improvements with darolutamide vs placebo were observed for several other secondary end points, including time to mCRPC (HR, 0.40; 95% CI, 0.32-0.51), time to PSA progression (HR, 0.31; 95% CI, 0.23-0.41), and time to pain progression (HR, 0.72; 95% CI, 0.54-0.96). Moreover, 62.6% of patients who received darolutamide achieved a PSA level lower than 0.2 ng/mL at any time during the treatment period vs 18.5% of those who received placebo.

Regarding safety, the most frequently reported grade 3/4 adverse effects in the darolutamide arm were hypertension (3.6%), anemia (3.6%), pain in extremity (1.8%), bone pain (1.4%), increased alkaline phosphatase levels (1.4%) back pain (0.9%), headache (0.9%), and COVID-19 (0.9%).

“Prostate cancer continues to have a significant effect on men and their families in Canada, with incidence and mortality rates that remain unacceptably high,” Dr Stuart Edmonds, executive vice president for mission, research, and advocacy at the Canadian Cancer Society, concluded in the news release.¹ “Bringing more treatments to patients faster offers new hope, greater choice, and the potential for improved outcomes.”

References

1. Health Canada grants marketing authorization for an additional indication of Bayer’s Nubeqa (darolutamide) for the treatment of metastatic castration-sensitive prostate cancer (mCSPC). News release. Bayer Inc. August 21, 2025. Accessed August 22, 2025. https://www.bayer.com/en/ca/health-canada-grants-marketing-authorization-for-an-additional-indication-of-bayers-nubeqa
2. Saad F, Vjaters E, Shore N, et al. Darolutamide in combination with androgen-deprivation therapy in patients with metastatic hormone-sensitive prostate cancer from the phase III ARANOTE trial. J Clin Oncol. 2024;42(36):4271-4281. doi:10.1200/JCO-24-01798
3. FDA approves darolutamide for metastatic castration-sensitive prostate cancer. FDA. June 3, 2025. Accessed June 3, 2025. https://www.fda.gov/drugs/resources-information-approved-drugs/fda-approves-darolutamide-metastatic-castration-sensitive-prostate-cancer

Postal services around the world are pausing some deliveries to the US over confusion around new import taxes that must be paid on parcels from the end of the month.

US President Donald Trump signed an executive order last month ending the global import tax exemption on low-value parcels, which takes effect from 29 August.

While gifts worth less than $100 will remain duty-free, the changes mean all other packages will face the same tariff rate as other goods from their country of origin.

Postal services, including Royal Mail and Germany’s DHL, said they would suspend deliveries until they had proper systems in place to deal with the new rules.

Royal Mail said it was withdrawing its current US export services for businesses from Tuesday, but added it hoped to have a new system up and running within two days to allow it to comply with the new rules before they kick in.

“We have been working hard with US authorities and international partners to adapt our services to meet the new US de minimis requirements so UK consumers and businesses can continue to use our services when they come into effect,” the company said.

Royal Mail said cards and letters could continued to be posted as usual.

The US had a so-called de minimis exemption on packages worth up to $800, which allowed consumers to buy cheap clothing and household goods from sites such as Shein and Temu without paying import duties.

But the duty-free rule on Chinese goods ended on 2 May, and is now being extended to the rest of the word.

The White House said ending the duty-free exemption would combat “escalating deceptive shipping practices, illegal material, and duty circumvention”, claiming some shippers had “abused” the exemption to send illicit drugs into the US.

The Trump administration said de minimis shipments had skyrocketed from 115 million in the 2023/24 financial year, to 309 million by 30 June this year.

While China is a major source of shipments that use the exemption, Canada and Mexico are also significant sources of low-cost parcels being sent to the US.

Deutsche Post and DHL Parcel Germany said it was temporarily suspending parcel delivery for business customers to the US from Saturday, as “key questions remain unresolved” about how duties would be paid, and by whom.

DHL sad it was “closely monitoring the further developments” and remained in contact with US authorities, and said shipping via its DHL Express services “remains possible”.

“The company’s goal is to resume postal goods shipping to the US as quickly as possible,” it said.

Earlier this week PostNord announced it was also suspending services as the US authorities only provided details about the required changes on 15 August.

“This decision is unfortunate but necessary to ensure full compliance of the newly implemented rules,” said Bjorn Bergman, PostNord’s head of group brand and communication.

Online marketplace Etsy said it was suspending shipping label purchases from 25 August for Australia Post, Canada Post, Royal Mail and Evri for US-bound packages while couriers adjusted services.

“The state of tariffs is evolving, so please be sure to keep an eye on recommendations from your preferred shipping carrier,” Etsy said in advice to its sellers.

In Trump’s “big beautiful bill”, passed by Congress on 3 July, the change to de minimis was due to come into effect on 1 July 2027, but a recent executive order sped up the process by two years.

The new rule does not affect personal items Americans carry with them from foreign travel valued at $200 or less and it does not affect gifts valued at $100 or less.