I 
115TH CONGRESS 
2D SESSION 
H. R. 5524 
To amend title 39, United States Code, to require the United States Postal 
Service to establish rates for delivery of inbound international mail that 
do not discriminate between foreign and domestic mailers, to review 
foreign practices with respect to the exchange of e-commerce goods 
with the United States, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 16, 2018 
Mr. MARCHANT (for himself, Mr. ABRAHAM, and Mr. ROSS) introduced the 
following bill; which was referred to the Committee on Oversight and 
Government Reform, and in addition to the Committees on Ways and 
Means, and Foreign Affairs, for a period to be subsequently determined 
by the Speaker, in each case for consideration of such provisions as fall 
within the jurisdiction of the committee concerned 
A BILL 
To amend title 39, United States Code, to require the United 
States Postal Service to establish rates for delivery of 
inbound international mail that do not discriminate be-
tween foreign and domestic mailers, to review foreign 
practices with respect to the exchange of e-commerce 
goods with the United States, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
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SECTION 1. LIMITATION ON THE AUTHORITY OF SEC-
RETARY OF STATE WITH RESPECT TO INTER-
NATIONAL POSTAL AGREEMENTS. 
Subsection (b)(1) of section 407 of title 39, United 
States Code, is amended to read as follows: 
‘‘(b)(1) The Secretary of State shall be responsible 
for formulation, coordination, and oversight of foreign pol-
icy related to international postal services and other inter-
national delivery services and shall have the power to con-
clude postal treaties, conventions, and amendments re-
lated to international postal services and other inter-
national delivery services, except that the Secretary may 
not conclude any treaty, convention, or other international 
agreement (including any regulation of the Universal 
Postal Union binding on the United States) if such treaty, 
convention, or agreement would— 
‘‘(A) with respect to any competitive product, 
grant an undue or unreasonable preference to the 
Postal Service, a private provider of international 
postal or delivery services, or any other person; or 
‘‘(B) require the Postal Service to establish a 
classification, rate, or fee for any postal service ex-
cept as provided in subsection (f).’’. 
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SEC. 2. NONDISCRIMINATORY RATES FOR DELIVERY OF IN-
BOUND INTERNATIONAL MAIL GENERALLY. 
Subsection (c) of section 407 of title 39, United 
States Code, is amended to read as follows: 
‘‘(c)(1) Except as provided in subsection (f), the Gov-
ernors shall, in accordance with the provisions of chapter 
36, establish reasonable and equitable classes of mail and 
reasonable and equitable rates of postage and fees for the 
transportation and delivery within the United States of 
documents and goods received from other countries. Such 
classifications, rates, and fees shall be regulated by the 
Postal Regulatory Commission in the same manner as 
comparable domestic classifications, rates, and fees, and 
shall be available to users of domestic postal services 
under the same terms and conditions as provided to for-
eign post offices and other entities tendering documents 
and goods from other countries to the Postal Service. 
‘‘(2) The classifications, rates, and fees established 
by the Postal Service under this subsection and subsection 
(d) shall not discriminate between documents or goods re-
ceived from other countries based on the country of origin, 
the nationality of the sender, or the ownership or govern-
mental designation of the entity tendering the documents 
or goods to the Postal Service.’’. 
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SEC. 
3. 
PREFERENTIAL 
RATES 
FOR 
INBOUND 
NON-
COMMERCIAL 
MAIL 
FROM 
DEVELOPING 
COUNTRIES. 
Section 407 of title 39, United States Code, is 
amended by adding at the end the following: 
‘‘(f)(1) Pursuant to subsection (b), the Secretary of 
State may conclude a treaty, convention, amendment, or 
other intergovernmental agreement that requires the Post-
al Service to provide preferential classifications, rates, or 
fees for the transportation and delivery within the United 
States of documents and goods received from other coun-
tries in accordance with this subsection. 
‘‘(2) No classification, rate, or fee established under 
this subsection shall— 
‘‘(A) apply to documents and goods sent from 
an industrialized country to the United States; 
‘‘(B) apply to commercial goods sent to the 
United States from a country that exports such com-
mercial goods to the United States in quantities that 
have a significant competitive effect on business con-
cerns within the United States; 
‘‘(C) discriminate between documents or goods 
received from a specific country based on the owner-
ship or governmental designation of the entity ten-
dering the documents or goods to the Postal Service; 
or 
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‘‘(D) be effective for more than 4 years. 
‘‘(3) At least 120 days prior to concluding negotia-
tions with respect to any treaty, convention, amendment, 
or other intergovernmental agreement (including any reg-
ulation of the Universal Postal Union binding on the 
United States Government) that proposes to establish a 
preferential classification, rate, or fee pursuant to para-
graph (1), the Secretary of State shall submit the pro-
posed classification, rate, or fee to the Postal Regulatory 
Commission for review together with a written statement 
explaining why it is in the foreign policy or national secu-
rity interest of the United States to provide such pref-
erence (provided that the Secretary may designate por-
tions that shall be kept confidential for reasons of foreign 
policy or national security for a period not exceeding 4 
years). 
‘‘(4) Promptly after receiving a request under para-
graph (3), the Commission shall provide notice and an op-
portunity for public comment in conformance with the 
rulemaking requirements of section 553 of title 5, United 
States Code. The Commission may also provide for an evi-
dentiary hearing on the record if it considers such a hear-
ing necessary. In its review, the Commission shall deter-
mine whether the proposed classification, rate, or fee is— 
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‘‘(A) reasonably calculated to achieve the for-
eign policy or national security objectives defined by 
the Secretary in a manner that is as consistent as 
possible with the national policies established in sub-
section (a); and 
‘‘(B) consistent with the requirements of para-
graph (2) of this subsection. 
Unless the Commission determines that the proposed pref-
erential classification, rate, or fee must be disapproved, 
the Commission shall also provide an estimate of the mon-
etary value of the approved preference for each year for 
which the preference is to be effective. 
‘‘(5) Within 90 days of receiving a request under 
paragraph (3), Commission shall issue a decision which 
approves, approves with modifications, or disapproves the 
proposed classification, rate, or fee. The Secretary shall 
ensure that each treaty, convention, or amendment con-
cluded under this section is consistent with the decision 
of the Commission. 
‘‘(6) The Commission shall periodically determine the 
difference between the revenues received by the Postal 
Service pursuant to preferential classifications, rates, or 
fees approved under this subsection and the revenues that 
the Postal Service would have received in the absence of 
such classifications, rates, or fees. Such estimates shall be 
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included in the annual report provided by the Commission 
under section 3651(b). 
‘‘(7) Within 3 months after the end of each Govern-
ment fiscal year, the Secretary shall transfer to the Postal 
Service the revenues foregone due to such preferential 
rates, fees, or classifications in the previous fiscal year, 
as determined by the Commission, from funds appro-
priated to the Department of State for that purpose. 
‘‘(8) Within 120 days from the enactment of this sec-
tion, the Commission shall promulgate (and may there-
after revise) such regulations as it deems necessary and 
proper to implement this subsection. In promulgating such 
regulations, the Commission shall take account of, but not 
be bound by the definitions of terms and other standards 
of the Universal Postal Union.’’. 
SEC. 4. EFFECT ON INTERNATIONAL POSTAL AGREEMENTS. 
(a) IN GENERAL.—In the implementation of para-
graph 407(b)(1) of title 39, United States Code, as 
amended by section 1, the Secretary of State may not con-
clude, approve, or otherwise agree to the Universal Postal 
Convention adopted by the Congress of the Universal 
Postal Union held in Istanbul in 2016. 
(b) APPLICATION.—This Act supersedes any postal 
treaties, conventions, and amendments related to inter-
national postal services and other international delivery 
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services (including any regulation of the Universal Postal 
Union binding on the United States Government) to which 
the United States is a party to the extent such postal trea-
ties, conventions, and amendments are inconsistent with 
this Act. 
SEC. 5. REPORT ON TRADE IN E-COMMERCE GOODS. 
(a) IN GENERAL.—Not later than 1 year after the 
date of enactment of this Act, the Secretary of Commerce 
shall, in consultation with the Office of the United States 
Trade Representative and with other Federal agencies as 
appropriate, submit a report to the President and Con-
gress on the policies of foreign governments toward the 
transmission of e-commerce goods to or from the United 
States by means of international postal services and other 
international delivery services. 
(b) REPORT CONTENTS.—The report required in 
subsection (a) shall identify and analyze— 
(1) foreign subsidies, laws, or other govern-
mental programs that provide for foreign merchants 
unfair or unreasonable assistance in the sale of e- 
commerce goods to consumers in the United States; 
(2) foreign subsidies, laws, or other govern-
mental programs that unfairly disadvantage United 
States merchants in the sale of e-commerce goods to 
consumers in other countries; and 
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(3) foreign laws and policies relating to the ex-
change of e-commerce goods which are inconsistent 
with the policies of the United States regarding 
international trade in services generally (section 
104A(a) of the Trade Act of 1974; 19 U.S.C. 
2114a(a)) and international postal agreements (sec-
tion 407(a) of title 39, United States Code) and 
which are detrimental to the interests of the domes-
tic or international operations of United States com-
panies. 
(c) PROPOSALS.—The report required in subsection 
(a) should propose appropriate steps that could be taken 
by the Secretary of Commerce, by other Federal agencies, 
or by Congress to remedy issues identified under sub-
section (b). Such steps may include proposals for— 
(1) remedial actions that may be taken by the 
United States alone; 
(2) modification of existing trade, postal, or 
other international agreements or development of 
new trade, postal, or other international agreements; 
(3) United States advocacy in international or-
ganizations; and 
(4) modification or improvement in the coordi-
nation of policies and positions among United States 
agencies. 
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(d) COUNTRIES COVERED.—The report required in 
subsection (a) may be limited to countries that, in the 
judgment of the Secretary of Commerce, have or soon will 
have a significant level of trade in e-commerce goods with 
the United States. 
SEC. 6. EFFECTIVE DATE. 
This Act shall take effect on the date that is one year 
after the date of enactment of this Act, except for section 
4(a) which shall take effect on such date of enactment. 
Æ 
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