How did USPS end up subsidizing China’s e-commerce?
Before 2018 changes to the Universal Postal Union rules, the U.S. Postal Service lost roughly 65 cents on every small package shipped in 2017 from China Post, China’s state-run postal service. Credit: Can Pac Swire, Creative Commons
A decade ago, American consumers could find clothes, toys, and appliances that had been manufactured in China stocked on the shelves of major retailers like Wal-Mart and Target. And even if they shopped for some of those goods online, the shipments typically came from stock that was held by warehouses in the United States.
But these days, with American consumers doing more of their shopping online, a growing share of what they buy is coming directly from factories and small businesses that ha
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Walmart should be in trouble in China, where its competitors are in retreat and its sourcing operations have been criticised by both Beijing and Washington. But the American retailer seems to have found a way forward in a difficult sector and remains one of the biggest benefactors of China-U.S. trade.
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