Originally Posted by MrHorspwer
Originally Posted by Rand
Because the us postal service subsidizes mail from china meanwhile its 20$ for me to mail something there.
It's a little more complicated than that, certainly more than can be explained in a tweet.
Nearly every country on Earth is a member of a global arrangement that dates back to 1874 called the Universal Postal Union. The purpose behind the UPU is to make it possible for anyone from any country, using their home country's postal service, be able to easily send mail to someone in another country.
With the UPU, if I put the appropriate amount of US postage on a letter, it will be delivered in any country that's a member of the UPU. I don't have to worry about having the correct amount of postage for both my country, where the letter is leaving from, and the receiving country, where it will be delivered.
Each country keeps a tally of the mail they've delivered that has originated from another country. The originating country then pays a flat fee to the delivering country based on the quantity of mail delivered. These fees are defined by the UPU and are generally the same across the world. So, if an item is received from Duetsche Post in New York and put into the USPS for delivery to Los Angeles, Germany is billed for the same amount as if it were received and delivered to Newark, New Jersey. As it is, mail volume is measured in tons. Trying to individualize and charge based on actual last mile delivery is difficult to impossible.
The downside of this is when a single country, like China, becomes a mass exporter of mail to the world, the fee structure tilts to their favor since it the flat fee for last mile delivery is generally less than regular domestic post would be. It's also not just a USPS problem, it's a worldwide concern. Pretty much all first-world countries have this same issue.
The solution seems simple: Raise the flat fee. Really, that means everything becomes more expensive because of increased shipping costs and nobody wants to have that on their resume. Dropping out of the UPU would be ridiculous. It would cost the USPS more to create a billing system and individually collect from 200+ nations than the revenue they "lose" through the UPU flat fee.
It's also a bit hypocritical for the United States to be complaining about China being the largest exporter of mail. China only became the largest mail exporter in the last decade or so. Prior t that, the United States held the title for nearly a century.
Here's a few other links, Basically the low postal prices put a lot of small business out of business as they couldn't compete on the shipping price due to the discounts that were giving. It was estimated that the post office lost about about 170 million in 2017 and about 134 million in 2016 and the losses keep increasing. You see it on eBay, the lowest prices for certain items are from China and the US business are much more money. Now those US business are gone and it's just business shipping from China.
https://www.lawfareblog.com/withdrawal-universal-postal-union-guide-perplexed
https://thehill.com/homenews/admini...aw-from-international-postal-rate-system