Fair Competition in International Shipping

Subcommittee on Government Operations
Hearing Date: June 16, 2015 2:00 pm 2154 Rayburn HOB

PURPOSE:

To examine the Universal Postal Union (UPU) terminal dues rate setting structure and process to better understand the challenges facing the United States, the inequities that result from the current system, and opportunities for reform.

BACKGROUND:

Established in 1874, the UPU coordinates international postal policies and procedures in an effort to guarantee mail service around the world.

The UPU sets terminal dues, which are the fees that postal operators pay each other for the domestic delivery of inbound international mail.

The terminal dues system has fallen far short of its goal to achieve a system where the fees charged are roughly equal to the cost of delivery.

A 2014 Postal Regulatory Commission study found a number of market distortions that stem from the terminal dues structure; distortion that could create situations where it is cheaper to mail items from China to the United Sates, than within the same state.

Witnesses and testimonies

Name Title Organization Panel Document
The Honorable Robert Taub Acting Chairman Postal Regulatory Commission Document
Mr. Robert Faucher Acting Deputy Assistant Secretary, Bureau of International Organization Affairs United States Department of State Document
Mr. Randy Miskanic Acting Chief Information Officer and Executive Vice President United States Postal Service Document
Ms. Nancy Sparks Managing Director, Regulatory Affairs FedEx Express Document
Mr. Paul Misener Vice President for Global Public Policy Amazon Document
David Williams Inspector General United States Postal Service Document

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