OT: Should the US subsidize Chinese postage

You design a little circuit and sell it online and you have to pay higher p ostage than to ship the product from China because the US is subsidizing th eir postage with epacket.

from Forbes:

"In 2011, the U.S. Postal Service made special agreements with the national postal carriers of China and Hong Kong (and subsequently South Korea and S ingapore) to allow tracking-enabled packages not exceeding 36? or w eighing over 4.4 pounds to be sent to the U.S. for extremely low rates. The y called this shipping option the ePacket, and the rates are so low that it 's cheaper to ship small parcels from China to an American city than it is to send that same parcel domestically."

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Reply to
Wanderer
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er postage than to ship the product from China because the US is subsidiz ing their postage with epacket.

onal postal carriers of China and Hong Kong (and subsequently South Korea and Singapore) to allow tracking-enabled packages not exceeding 36? ? or weighing over 4.4 pounds to be sent to the U.S. for extremely low rates. They called this shipping option the ePacket, and the rates are so low that it's cheaper to ship small parcels from China to an American ci ty than it is to send that same parcel domestically."

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Yup, that is insane. Why subsidize? I've never figured out who must have

gotten bought to pull that stunt off.

Follow the money is usually the point when you see crap like this.

John :-#(#

Reply to
John Robertson

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Hmm, should have read the article first. Seems this is a problem fostered at the UN where international postal price rates are set. Time to reopen that can of worms I suspect.

Don't yell that we need to ban the UN, rather how do you work with it to

adjust international problems is the real question.

John :-#(#

Reply to
John Robertson

It is a biased view of the situation. The reality is that under international treaty the postal companies agree to forward eachother's traffic to the local destination free of charge. When someone in country A wants to send a package to someone in country B, they go to their local post office, pay the locally established rate in country A, and then the postal service in country A transfers it to country B where the postal service delivers it without charge to the country A postal service.

This is a mutual agreement: when someone in country B sends a package to country A then B gets all the money and A delivers it for free.

That is seems to be so unbelievably cheap when you live in the USA (or here in Europe) is mainly because we have been in the economic growth (and associated inflation) spiral much longer than China has been. When you rewind the clock 40-50 years, the amounts are normal. But due to ever increasing costs we are now used to paying much more than the Chinese pay, and it becomes apparent in situations like this.

Remember it is not only about sending packages, it also is the reason why all your local production facilities have been closed and moved to China. Years of economic growth now backfires on you.

The only thing you can hope is that China will have the same growth and increase in local costs.

Reply to
Rob

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Reply to
Lasse Langwadt Christensen

Only for my packages! Yep, the general public is subsidizing the shipping on my products from China. That's why I can get a package of transistors from China for a total of $2.00.

Mikek

Reply to
amdx

What does this do to US distributors like digi-key, Mouser, Jameco etc?

Reply to
Wanderer

They move to China...............

Reply to
Sjouke Burry

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