Ep 132: USA vs UPU part 2

Oct 29, 2018

The USA has announced its intention to leave the UPU. Anna Möller Boivie, Managing Director of Copenhagen Economics (Stockholm), shares her insights:

• The options available to the USA:
  • Bilateral agreements
  • Multilateral agreements
• What would happen if there’s a “no deal” exit?
• The UPU services other than terminal dues that will be affected by the USA’s potential exit.
• Has the UPU made any progress to solve the small packets issue?
• Could the USA chosen a different path than simply leaving the UPU? What other options exist?
• How Sweden has stopped small parcels from China avoiding tax, and if that could be an option for the USA.

Richard Wishart then joins me (11:06) to give his opinion on the matter. We cover:

• The background to the international cross-border product EMS, including international arrangements under the UPU and IPC:
  • Standards
  • Pricing
  • Monitoring
• The need for international standards (16:25)
  •  Addressing
  • Parcel sizing
• What is the USA trying to achieve by pulling out of the UPU? (18:00)
• How does the USA contribute to the UPU? (19:00)
• Implications for USA e-commerce companies that sell cross-border? (21:32)
• The USA’s potential loss of lobbying power (24:00)
• The lack of progress in resolving terminal dues, and transparency of information (25:17)
• The need for location standards under the UPU (26:03)
• Is this an opportunity for the UPU to embrace reform? (27:32)