US threatening to leave the UPU may have implications to us....depending what happens

Something else to keep an eye on...

(UPU = Universal Postal Union)

 

https://business.financialpost.com/news/economy/postal-strike-trump-threat-to-abandon-postal-treaty-...

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US threatening to leave the UPU may have implications to us....depending what happens

Since the UPU is the reason any USPS shipment, from a Christmas card to a grandmother overseas, to an Amazon purchase, I suspect sensible bureaucrats and business donors will let him know this is stupid and then drag their feet on implementation.

 

Someone might even let him know that China Post caved on their designation as a developing country in 2016 and have slowly been raising their rates since.

Given the date, Trump can even (wrongly) take credit for that, although the heavy lifting was done by a coalition of Western postal systems. Remember the holdups on small untracked parcels from China in 2014-2015?

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US threatening to leave the UPU may have implications to us....depending what happens

Before the Trumpster:                         

 

Related image    

After the Trumpster:

 

Insights

 

-Lotz

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US threatening to leave the UPU may have implications to us....depending what happens

I agree with Trump on this one. I ordered a lens cap a few weeks ago from China to Ottawa for a whole $1 including shipping. I couldn't even ship that across the street for less than $3 in shipping. It's not like someone doesn't pay for the Chinese shipping in Canada. In fact you and I pay by paying higher Canada post shipping prices to cover their losses from Chinese shipping. If $1 is the new "higher" shipping prices, I would hate to know what they were before.

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US threatening to leave the UPU may have implications to us....depending what happens

The rates are one thing, and have been renegotiated. This will continue.

 

Pulling out of the UPU means that NO letters or packages could travel in or out of the USA through the international postal system.

You would not be able to ship to your US customers, and your US sellers could not ship to you.

At least, not through Canada Post.

All that traffic would have to move to private couriers. Which means you would be paying much much more for shipping.

And more for import fees, because while CBSA is willing to overlook lowvalue items that come in by post, every import valued over $20Cdn (~$15US) would have to be assessed for duty and sales tax and the money collected by UPS/FedEx/CanPar /etc on your doorstep.

If you hated the GSP (spit spit spit) you haven't seen anything yet.

 

Since "free " shipping means the cost of shipping is included in the price of the item, I'd wonder even more about the quality of the cap.

 

The rates are not secret (although just as we get small discounts from Canada Post with our Small Business Solutions cards, so might Chinese exporters)  :

https://www.chinapostaltracking.com/service/small-parcel-rate/

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US threatening to leave the UPU may have implications to us....depending what happens

"

Pulling out of the UPU means that NO letters or packages could travel in or out of the USA through the international postal system.

You would not be able to ship to your US customers, and your US sellers could not ship to you."

 

umm I somehow doubt that would come to pass. There will be a negotiation of a change in the current rules. They are actually voting in September. It's not just the US either who is upset with the status quo.

 

Those rates are the posted public rates as you stated. They are no where near what they probably pay. Much bigger than our discounts. 

 

I have no issues with competition. But it should be on common ground. China isn't exactly a small developing country anymore. Why should they be classified as such by the UPU? Why should we be paying Chinese retail companies to ship in Canada cheaply? It's quite silly. At least to me.

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US threatening to leave the UPU may have implications to us....depending what happens

The US would have to negotiate a deal with every nation in the world. One by one.

Trump has not even been able to re-up NAFTA. Neither Congress nor Parliament has voted on the Canadian treaty which has been waiting for months.

There are around 175 nations in the UPU.

Message 7 of 13
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US threatening to leave the UPU may have implications to us....depending what happens

If the US does not leave the UPU,  then the next option would be ...

 

... to block all mail from China.... Or...

 

... to add a massive surcharge on all mail from China.... a customs fee.....

 

 

 

 

 

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US threatening to leave the UPU may have implications to us....depending what happens

marnotom!
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So much unnecessary hand-wringing over yet another ill-thought out pronouncement from the present leader of the free world.

When that wall gets built I'll start taking more of what he has to say more seriously.
Message 9 of 13
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US threatening to leave the UPU may have implications to us....depending what happens

@cumos55 

... to add a massive surcharge on all mail from China.... a customs fee.....

 

Which would not affect eBay buyers, because American residents have an $800 duty free allowance.

It would hit businesses and importers. Like WalMart.

AKA "donors".

 

If Chinese shipments were exempt from the duty free allowance, then all those voters in Appalachia and Wisconsin, would be taxed on their doorstep for their purchases.

Wouldn't want to be the postie trying to collect ...

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US threatening to leave the UPU may have implications to us....depending what happens

If the US leaves the UPU.... the postal service would be a mess worldwide.....

 

But if they do leave....  I will go on vacation  and then sell no more.

 

OR... Sell only to Canadian buyers... until May 30 when my monthly payment for the store's annual subscription  on eBay will end

 

 

Message 11 of 13
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US threatening to leave the UPU may have implications to us....depending what happens

I would like to think for those of us who have 50% or more of our buyers in Canada, that selling within Canada would be very much alive and well...

Message 12 of 13
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US threatening to leave the UPU may have implications to us....depending what happens

@femmefan1946 

 

But this isn't really about tarries. Its about Chinese retail companies shipping to customers for below cost of shipping. Paid for by USPS. That is why he is threatening to leave. It's an active issue that hasn't been fixed.

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