US Postal Service Ends Discounts for Shipping Consolidators
The move aims to boost USPS revenues and efficiency, potentially raising consumer costs.
- The USPS will no longer offer discounted rates to shipping consolidators like UPS and DHL.
- This change is part of a broader effort to modernize the USPS network and achieve financial sustainability.
- Consolidators currently account for about a quarter of USPS's total parcel volume, moving around 2 billion packages annually.
- USPS Postmaster General Louis DeJoy stated that the change is necessary to cut losses and adapt to shifting shipping habits.
- The decision could lead to higher shipping costs for consumers as consolidators may pass on the increased expenses.