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USPS Temporary Price Increase Approved

As covered in our news story on the 17th August, the United States Postal Service (USPS) filed notice with the Postal Regulatory Commission (PRC) for a temporary price increase. Unfortunately, on 4th September 2020, the PRC approved this temporary change, taking effect on 18th October 2020 until 27th December 2020. 

The planned temporary price adjustments are in response to increased expenses and heightened demand for online shopping package volume due to the coronavirus pandemic and expected holiday eCommerce. As a result of these changing conditions, the Postal Service is planning a timed limited price increase on all commercial domestic competitive package volume from 18th October until 27th December 2020. Retail prices and international products will be unaffected. 

The planned price increase would go into effect at 12:00 am Central on 18th October 2020 and will remain in place until 12:00 am Central 27th December 2020. 

The planned prices, approved by the Governors of the Postal Service on 6th August, would raise prices on its commercial domestic competitive parcels – Priority Mail Express, Priority Mail, First-Class Package Service, Parcel Select, and Parcel Return Service. 

The time-limited adjustment will increase prices for our commercial customers in line with competitive practices without impacting customers at the retail level. In doing this, the Postal Service is protecting the retail consumer during the vulnerable economic period while increasing prices on commercial volume during heightened volume levels. 

No structural changes are planned as part of this limited-time pricing initiative, allowing customers the greatest ease in implementing the new prices with minimal complexity. 

The Governors believe these temporary rates will keep the Postal Service competitive while providing the agency with much needed revenue. The forecasted additional revenue from the time-limited increase will depend on the volume of packages shipped between 18th October and 27th December 2020 at commercial rates. 

If you have any questions regarding the temporary increase, please don’t hesitate to give your Account Manager a call. 

 

International Postage Service Update

As many of you will have experienced over the last few months, delivery times for postage of mail and parcels has been dramatically affected around the world during the coronavirus pandemic. Despite these challenging times, we are pleased to report that we have kept your goods moving during this period, albeit with some delays due to lack of passenger flights and country lockdowns.

The last month has seen a lot of countries reducing lockdown restrictions and some passenger flights reinstated, however, the landscape and the guidelines are constantly changing, along with travel advice from the Foreign & Commonwealth Office (FCO) changing from week to week. As an example, the US is not letting British National’s cross their borders if they have been in the UK, Ireland, Schengen zone, Iran, Brazil or China within the previous 14 days. These individual restrictions to the US – and similar restrictions in other countries means – reduced passenger flights, which in turn means limited capacity and less mail being transported worldwide, leading to inevitable delays. 

We are constantly working with our tried and tested postal suppliers from around the world to maintain delivery services and to ensure goods are delivered, however, delays should be expected. 

In spite of the constant changes and challenges, we are pleased to advise that we can and are getting our consignments delivered but unfortunately, some delays are still unavoidable at this present time and we don’t believe delivery timeframes are going to improve for a while and until there is an increase in passenger flights. We aim to continue to keep you informed of any changes, so you can consider these challenges when planning your campaigns and advising your customers of delivery aims. Please find our current delivery aims below, please bear in mind these additional delays to help avoid disappointment. 

To keep in touch with the latest country restrictions and delivery delays, please visit our Service Alerts page: https://www.ukpworldwide.com/news/service-alerts/

Many thanks for your patience during these challenging times and please stay safe. 

Many thanks,

UKPW Team

Phillippines

The Government of the Phillippines has extended the community quarantine within the Phillippines until 31st August, which is having an ongoing impact into the processing and delivery of inbound and outbound mail items. 

  • The following areas are placed in general community quarantine:
    • Luzon Island: National Capital Region and the provinces of Batangas, Bulacan, Cavite, Laguna, Nueve Ecija, Quezon and Rizal
    • Visayas Island: Cebu City, Iloilo City, Lapu-Lapu City, Mandaue City and the City of Talisay, as well as the municipalities and Consolacion in the province of Cebu. 
  • The remaining areas in Luzon, Visayas and Mindanao islands are placed into modified general community quarantine. 

Israel

Israel Postal Company has advised that service delays are still being experienced due to ongoing restrictions and precautions in place to reduce the spread of COVID-19. 

Hong Kong

Special working arrangements for government employees have been extended and will remain in place until further notice. The current arrangements are affecting the processing and delivery of all mail and will continue to do so in order to protect from the spread of the COVID-19.