Listen To Story Above
President-elect Donald Trump has expressed a strong desire to privatize the United States Postal Service in recent weeks, according to a report from the Washington Post, citing three individuals with knowledge of the matter.
The U.S. Postal Service, which has incurred losses exceeding $100 billion since 2007, reported a net loss of $9.5 billion for its fiscal year ending September 30, a $3 billion larger deficit compared to the previous year, primarily due to a year-over-year increase in non-cash workers’ compensation expenses.
🚨 Breaking : Donald Trump is looking into privatizing the US Postal Service.
The USPS has been a disaster for a while continuously bleeding Billions of dollars.
Let’s get it done
— Based DK (@Back_2TheMiddle) December 14, 2024
When informed of the agency’s annual losses, Trump stated that the government should not subsidize the organization, as reported by the Washington Post.
Trump, who assumes office on January 20, has discussed his aspiration to privatize the Postal Service with Howard Lutnick, his choice for commerce secretary, at Mar-a-Lago, the report stated.
Individuals who will work at the Department of Government Efficiency, led by Elon Musk and Vivek Ramaswamy, have also had preliminary discussions about significant changes to the USPS, according to the report, citing two other people familiar with the matter.
The U.S. Postal Service and the Trump transition team did not immediately respond to requests for comment regarding the report.
Any attempt to privatize the Postal Service could disrupt the e-commerce industry in the U.S., the Washington Post said, including Amazon, which utilizes USPS for “last-mile” delivery between Amazon’s fulfillment centers and customers. It could also adversely impact small businesses and rural consumers who rely on the Postal Service, as it is the only carrier that will deliver to remote areas of the country.
Amazon recently announced a $1 million donation to Trump’s inaugural fund and will air his inauguration on its Prime Video service.
BREAKING: President Trump is considering a plan to privatize the US Postal Service, arguing that the government shouldn’t subsidize the organization. pic.twitter.com/b3HuUDSzvX
— Ian Jaeger (@IanJaeger29) December 14, 2024
Trump has had a strained relationship with the Postal Service. Sources informed Reuters that his transition team is considering canceling the service’s contracts to electrify its delivery fleet.
According to sources, the team is reviewing how it can terminate the service’s multibillion-dollar contracts, including with Oshkosh and Ford, for tens of thousands of battery-driven delivery trucks and charging stations.
“In 2020, Congress authorized the Treasury Department to lend the Postal Service up to $10 billion as part of a $2.3 trillion coronavirus stimulus package, which Trump threatened to block.”
