PRC Approves USPS Postal Rate Increases

Source: USPS

This week the Postal Regulatory Commission issued Orders 4875 and 4876 approving the Postal Service’s planned rate adjustments for both Market Dominant products and Competitive products respectively.

READ MORE: USPS Announces Price Changes for 2019

Rate increases for Market Dominant products must meet certain statutory and regulatory requirements, the most prominent of which is that such increases be no greater than the rate of inflation, as determined by the Consumer Price Index for All Urban Consumers.

Also, the Postal Accountability and Enhancement Act requires, among other things, that rates for Competitive products must produce sufficient revenues to ensure they are not subsidized by Market Dominant products.

The Commission found that the rates for both classes of mail meet all statutory requirements and may take effect, January 27, 2019, as planned.

The Commission also found that the planned classification changes, with the revisions set forth in Orders 4875 and 4876, are consistent with applicable law.

USPS First Class Mail Increases

ProductOld RateNew Rate
Forever Stamp50 cents55 cents
Metered Stamp47 cents50 cents
Additional Ounce21 cents15 cents

USPS Priority Mail Increases

Product: Priority MailOld RateNew Rate
Retail Small Flat Rate Box$7.20$7.90
Retail Medium Retail Flat Rate Box$13.65$14.35
Retail Large Flat Rate Box$18.90$19.95
Retail Large Flat Rate Box APO/FPO/DPO$17.40$18.45
Retail Regular Flat Rate Envelope$6.70$7.35
Retail Legal Size Flat Rate Envelopes$7.00$7.65
Retail Padded Flat Rate Envelopes$7.25$8.00

For sellers, key part to remember is that these are USPS retail rates normally charged at post offices.

USPS Priority Mail rates offered by marketplaces and shipping management providers may be lower, but will see similar increases.

And as a reminder, effective date is January 27, 2019.

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