KUALA LUMPUR: Pos Malaysia Bhd is working with relevant government agencies to ensure there is no major hike in postal rates if the United States Postal Service (USPS) leaves the Universal Postal Union (UPU).
Pos Malaysia said it is considering a de-regulation to cushion the potential hike in postal and parcel rates globally.
The possibility of USPS leaving the UPU had recently surfaced at a UPU Congress in Geneva this week.
Though three proposals were tabled, there does not seem to be a solution to the high cost impact on postal operators across the globe.
“Some have dubbed the withdrawal prospect ‘Pexit’ (short for ‘Postal Exit’) – an allusion to the likewise uncertainty of Brexit. Though the United States (US) has not singled out China, most e-Commerce products are from China, directly or through third parties in Asia.
“Countries like Malaysia are caught in the cross fire of this escalated Trade War.
“Malaysia’s stand is to maintain status quo and for a more new, matured proposal to be studied and submitted in the next Abidjan UPU Congress in 2020.
“However, it remains likely that a new option, proposed by the US will be voted in at this Extraordinary Congress.
“The two-day voting process started today (Sept 25) and Pos Malaysia will keep those concerned updated,” it said in a statement.
Pos Malaysia said it would address the issue to minimise the impact on Malaysian consumers and businesses, while not losing sight on its own transformation agenda.
“This will be built upon Pos Malaysia’s unmatched distribution network and the vast opportunity to develop new digital businesses for customers,” it said.
The USPS had earlier warned that it would leave if reforms are not made in the UPU, the UN body that regulates global postal services.