USPS International service disruptions – At this critical time of the coronavirus pandemic or COVID-19, various e-commerce retailers, and the economy of countries have been hampered. This has been clearly shown in this week’s release of United States retail sales by the Department of Commerce. The major problem arose when certain retailers were not able to export their shipment earlier this month when the United States Postal Services or the USPS announced that they would not be able to process various shipments to deliver or process from the US to over 50 global markets. These markets include India, Saudi Arabia, South Africa, and so on and so forth. Thus, the COVID-19 pandemic has caused a serious USPS international service disruption, USPS Suspends International Mail on a massive scale.
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The processing and delivering services within these markets by the USPS remains suspended for an indefinite period.
“The Postal Service mentions that they would not be able to process or deliver international mail or services originating from the United States due to the coronavirus pandemic”
This was stated in a recent suspension notice which was published on April 1. As a result, the postal services are unable to accept any items from the countries which are known to have a major outbreak of the COVID-19 virus. The services are suspended from 3rd April and are insignificant on the remission of the services.
The USPS mentions that the services which are to be remained suspended until this pandemic is over are Priority Mail Express International (PMEI), Priority Mail International (PMI), International Surface Air Lift (ISAL), International Priority Airmail (IPA) and M-bag items. The USPS added to the notices that the already deposited items other than GXG (Global Express Guaranteed) will be returned to the sender until the USPS international mail service suspension is brought to a pause.
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USPS Suspends International Mail
This move by the USPS brings on a serious dent to the retailers who prefer to go global with their business propagations.
One of the major takeaways done by the USPS is that most of the markets where the USPS suspended its services for an indefinite amount of time are not insignificant in any way.
“This has been a sort of exercise for retailers to expand their business globally. The current numbers vary within a range of few hundred million in the United States and a few billion are over the world.” Since these retailers intend on extending their business internationally, they are now unable to do so because potentially 25% of the world is completely shut off from the US exports.
Notices are mentioning the fact that an average selling price for an item with domestic shipping charges is within the range of $50 to $60. This price is however double when it comes to the same shipment internationally.
So if you are a retailer who intends on selling his or her product internationally on a large scale than the domestic business then you are intentionally trying to replace the 2:1 ratio. This is a major drawback for the retailers since you need to find a customer within the vicinity of the United States who will be purchasing your product which is otherwise very popular in the international market and not so well-known in the domestic ones. Since you need to monitor the sales channel on both ends closely, the matter is of major concern for most of the businessmen.
USPS International Mail Service Suspension
And the fact that these retailers would be engaging with other delivery services such as FedEx or the UPS is highly unlikely since most of the reasons are related to price sensitivity. USPS usually charges less for both domestic and international shipments likewise that FedEx and the UPS.
“The question needs to be very specific with regards to the retailers or the items which they are willing to sell. Also, the brand and the selling price of the product need to be adjusted likewise”
“For an item which sells at a higher price range, one might consider paying the premium amount for shipment however the same does not apply for a product which has a lesser selling price. The businessmen might engage in the shipment or might not. This is an individual question for a retailer and there is no hard and fast way to answer the same in anyways.”