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Trump Calls for End to Discounts for International Mail

(Heidi Vogt – Wall Street Journal)

President Trump renewed his criticism of U.S. Postal Service policies this week, directing U.S. officials to get rid of international discounts that can make it cheaper to ship goods to a U.S. customer from China than from an American warehouse.

The decades-old discounts were established by a United Nations agency to help people in developing countries afford international mail. Now they mean a Chinese company often can ship a bike part or a T-shirt to a customer in Des Moines for a fraction of the cost paid by a shipper in New York.

Mr. Trump in a memo directed the State Department to renegotiate these rates with the Universal Postal Union at a September meeting so they no longer give an advantage to foreign mailers.

The current system “distorts the flow of small packages around the world by incentivizing the shipping of goods from foreign countries that benefit from artificially low reimbursement rates,” said the memo released Thursday. Click here to read more.