US Announces Plans To Withdraw From 144-Year-Old Postal Treaty

JoeyRox writes: The Trump Administration announced today that it's intending to withdraw from the Universal Postal Union, an international postage rate system overseen by the United Nations. 'The decision was borne out of frustration with discounts imposed by the Universal Postal Union (UPU) that allow China and some other nations to ship products into the U.S. at cheaper rates than American companies receive to ship domestically,' reports The Hill. 'The administration argues the system undercuts U.S. manufacturers and allows China to flood the market with cheap goods.' The U.S. is hoping to renegotiate the rates, known as terminal dues, but was frustrated with opposition from other nations in the UPU. According to the report, 'The withdrawal would not take effect for one year, allowing the U.S. some time to broker a new deal.' 'The 144-year-old UPU sets fees that postal services charge to deliver mail and packages from foreign carriers,' reports The Hill. 'For decades, developing nations have been allowed to pay lower rates than wealthier nations. China has fallen under the developing nation category, a designation the U.S. says it no longer deserves because of its booming economy.' The Trump administration wants to move to a system of 'self-declared rates' that would allow the U.S. Postal Service to set its own prices for shipping international packages of all sizes. As it stands, the P.O. is only allowed to use self-declared rates on packages exceeding 4.4 pounds.

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