U.S. may pull out of postal treaty that allows China to send packages cheaply

October 18, 2018

The United States announced Wednesday that it is preparing to pull out of an international postal treaty that allows China to ship packages to America at discounted rates. The move would escalate a trade dispute with China.

President Donald Trump argues that the 144-year-old Universal Post Union benefits China and other countries at the expense of U.S. businesses -- making it cheaper to ship packages from Beijing to New York than from San Francisco to the U.S. East coast, which particularly benefits Chinese manufacturers. The officials say the treaty is used by shippers of the narcotic fentanyl to the U.S. from China.

The U.S. is willing to renegotiate the treaty over the next year but will leave the union if no agreement can be reached, the officials said...

This was excerpted from the 17 October 2018 edition of CTV News.

Topic(s)

International Trade and Border Management

Information source

Canadian News Channel

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