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Not sure why everyone thinks this is a good thing. If the Chinese government wants to subsidize shipping so that US consumers can buy products for less money,
by resters 7y ago
Not sure why everyone thinks this is a good thing. If the Chinese government wants to subsidize shipping so that US consumers can buy products for less money, what is the harm?
The reason postage is expensive in the US is because there is a legal monopoly on first class mail, and very little competition for premium services (which is why Amazon decided that launching its own shipping carrier would be highly profitable).
So the blame for high US shipping prices rests with the US government, certainly not with anything China is doing!
- beowulfey 7y agoThe Chinese government was not the one subsidizing it. The original UPU treaty [1] stated that countries would pay a flat rate when shipping to another country. This was original passed several decades ago. The USPS only was getting paid $1.50 per package to forward on any parcel that arrived for a USA destination from China. Since no USA tax money was involved, the "subsidizing" gets passed onto domestic shipping in the form of increased fares to help cover the loss in revenue. [1] https://en.wikipedia.org/wiki/Universal_Postal_Union https://en.wikipedia.org/wiki/Universal_Postal_Union
- PunchTornado 7y agoit's not the Chinese gov who subsidizes shipping, it's the US and developed countries who subsidize Chinese shipping. I think China is no longer a developing country, should be on equal footing with Western countries now.
- deleted 7y ago[deleted]