In early 2020, countries are expected to start issuing revised tariff cards and no one knows who will be the first to click the “Send” button. From that date on, there will be a flood of negotiations. Will they have reached an agreement? Will the options studies show that there are non-postal and commercial solutions? Will lengthy bilateral negotiations lead to IT integrations with new commercial (non-postal) carriers? Entrepreneurs should always be prepared for changes that could affect their business models. Changing international postal rates is just one of many factors that can affect your e-commerce business. Work with your 3PL service company to be ready to survive in the ever-changing e-commerce marketplace. Standards are important prerequisites for the efficient operation of postal services and the networking of the global network. The UPU Standard Board is developing and maintaining a growing number of international standards to improve the exchange of post-postal information between postal operators. It also promotes the compatibility of UPU`s postal and international initiatives. The organization works closely with postal assistance organizations, customers, suppliers and other partners, including several international organizations.
The Standard Board oversees the development of consistent rules in areas such as electronic data exchange (EDI), post-coding, postal forms and meters. UPU standards are established in accordance with the rules set out in Part V of the “General Information on UPU Standards” and published by the International Office of the UPU in accordance with Part VII of this publication. On July 1, 2020, USPS increased the fees it charges for incoming packages. International shippers, including from China, must now pay $2.87 per pack and $3.95 per kilogram (about 2.2 pounds). This is a significant increase in shipping costs for small parcels from China to the United States. In the past, the cost of shipping packages of less than 4.4 pounds (2 kilograms) from China was less than the cost of shipping the same package to the United States. See below for more information on the cheap postage that fueled China`s e-commerce boom. The agreement, which came into force in 2018, has increased final tariffs for some developing countries with strong economies, including China. However, the higher costs still do not cover the full cost of the Us-Post for the delivery of these parcels. The South China Morning Post reported that China`s small e-commerce companies would suffer from higher postal costs. However, major Chinese retailers are unlikely to be affected by the contract change.