US-Chinese tariffs are normal

New tariffs at Universal Postal Union - the USA will benefit above all - at the expense of China

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Author: An Analysis by Charlotte Jacquemart

The Universal Postal Union, which is based in Bern, is relieved: yesterday evening the delegates from the 192 member states agreed on a new tariff framework. But the solution that has been found is above all kneeling before the USA.

Who as a country many many Importing letters and parcels weighing less than two kilograms will be allowed to increase the transport fees for foreign senders without authorization. Who as a country little Receives parcels, which - presumably - most of the time remains the same. That is the conclusion of the compromise that was reached yesterday evening in Geneva at the conference of the Universal Postal Union. However, the details are still being fine-tuned. And much will be decided bilaterally.

Internet shopping is becoming more expensive

What is already clear: the big countries will benefit from the new solution first - above all the USA. Because anyone who receives more than 75,000 tonnes of small parcels from abroad will be able to demand higher prices from a sender country for the transport of foreign parcels on their own land from July 2020. The USA is already reaching this threshold today. The US Post will soon be able to increase the fees it charges the Chinese Post, for example. Because fees are ultimately passed on to the end consumer, Internet shopping in Asia is becoming more expensive for American consumers. This is exactly what the US government wanted: Encourage Americans to shop less in China and more at home.

Kneel before the United States

For Patrick Kessler, the managing director of the Association of Swiss Mail Order Companies, the solution that has been found is a kneel to the USA. The Swiss Post is currently analyzing how the new regime - as far as is known - will affect Swiss Post and consumers. One thing is certain: Switzerland will not reach 75,000 tonnes.

The fact that an agreement was reached in Geneva is nevertheless to be seen as a success - kneeling or not: A breakup of the Universal Postal Union would have been devastating: The network of national postal organizations ensures that parcels weighing up to two kilograms are transported smoothly across national borders, in all corners of the world.

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  • Comment from Daniel Meier (Danimeier)
    Um, I always thought we had the free market. Globalization has always been very positive. E.g. after the collapse of the Soviet Union, Western countries exported their products on a massive scale to Eastern European countries. Now that a new market player is taking advantage of globalization and doing exactly the same thing, is it no longer that great or what? All hypocrites
    Agree agree to the comment
    1. answer from Peter Müller (PeRoMu)
      @ D. Meier: If the 'new market player' refers to China, please note that the Chinese suppliers benefit from highly subsidized postal rates for their parcels delivered to CH and transported and delivered in CH by Swiss Post. This has absolutely nothing to do with 'free market'. The requirements of the Universal Postal Union are much more of an example of what can come out if the state interferes in the market to regulate.
      Agree agree to the comment
    2. Show answers
  • Comment from Sebastian Köhler (Tekk)
    Well, I hate to disappoint everyone, but the whole thing will not have any effects on the USA and certainly not on Switzerland. Meanwhile, z. B Aliexpress warehouses in Germany, Spain, Russia and the USA and partly sends the goods from there and no longer from China. In a few months or years we will read that the parcels from China have become fewer and everyone is happy, but nothing has changed in the number of parcels, they just come from somewhere else.
    Agree agree to the comment
  • Comment from Alfred Kunz (ennipS-StoryHaus)
    Why does little Switzerland have to import the same amount as the USA? Let's tip this contract.
    Agree agree to the comment

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