International Mail Rates Are Going Higher. It’s a Win for FedEx, UPS, and the U.S. Postal Service.

Discussion in 'The Latest UPS Headlines' started by cheryl, Sep 26, 2019.

  1. cheryl

    cheryl I started this. Staff Member

    International Mail Rates Are Going Higher. It’s a Win for FedEx, UPS, and the U.S. Postal Service. - Barron's

    International postal rates are going higher, potentially shifting the balance of power between companies such as United Parcel Service and FedEx and the U.S. Postal Service.

    The Universal Postal Union, a conglomeration of 192 countries that ensures mail is picked up, sorted, and carried across borders, voted Wednesday to let governments set their own fees for handling mail delivered internationally. The changes, agreed to following a threat by President Donald Trump to leave the union, will take place over five years.

    A congress of UPU members initially voted to reject a U.S. proposal that would have allowed for a quicker increase in the fees, known as terminal dues, that countries charge one another to handle deliveries. The U.S. voted in favor of the successful, revised plan, a result that takes the worst potential outcome—the U.S. leaving the union—off the table.