[Federal Register Volume 62, Number 185 (Wednesday, September 24, 1997)]
[Rules and Regulations]
[Pages 49915-49918]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-25356]
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POSTAL SERVICE
39 CFR Part 20
Implementation of Global Package Link Service
AGENCY: Postal Service.
ACTION: Interim rule with request for comments.
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SUMMARY: Global Package Link Service (GPL) is an international mail
service designed for mailers sending merchandise to other countries. To
implement an agreement previously entered into with the postal
administration of Hong Kong Special Administrative Region (Hong Kong),
Hong Kong is now being added as a destination country. This action is
consistent with the Postal Service's original plan to add destination
countries as mailer needs dictate (59 FR 65961; December 22, 1994). GPL
Service previously has been made available to Brazil, Canada, Chile,
China, France, Germany, Japan, Mexico, Singapore, and the United
Kingdom (U.K.). To use GPL Service, a mailer must mail at least 10,000
GPL packages a year and agree to link its information systems with the
Postal Service's so that the Postal Service can extract certain
information about the contents of the mailer's packages for customs
clearance and other purposes. Initially, one level of service to Hong
Kong will be offered to mailers. Interim regulations have been
developed and are set forth below for comment and suggested revision
prior to adoption in final form.
DATES: The interim regulations take effect September 24, 1997. Comments
must be received on or before October 24, 1997.
ADDRESSES: Written comments should be mailed or delivered to Global
Package Link Service, U.S. Postal Service, 475 L'Enfant Plaza SW, Room
370 IBU, Washington, DC 20260-6500. Copies of all written comments will
be available for public inspection and photocopying at the above
address between 9 a.m. and 4 p.m., Monday through Friday.
FOR FURTHER INFORMATION CONTACT: Robert Michelson at the above address.
Telephone: (202) 268-5731. Marc Solnick at the above address.
Telephone: (202) 268-3916.
SUPPLEMENTARY INFORMATION:
I. Introduction
One of the most important goals of the Postal Service's
international mission is developing services that enhance the ability
of U.S. mailers to do business in other countries. This responsibility
was delineated in 39 U.S.C. 403(b)(2) which makes it the obligation of
the Postal Service ``to provide types of mail service to meet the needs
of different categories of mail and mail users.'' GPL is designed to
more closely meet the needs of mailers who send merchandise packages
from the United States to multiple international addressees by
simplifying the process mailers use to prepare their packages for
mailing and by reducing the costs those mailers incur in mailing
merchandise to other countries.
In late 1994, with implementation of International Package
Consignment Service, later renamed Global Package Link, to Japan (59 FR
65961; December 22, 1994), the Postal Service announced that, when
feasible, it would expand this service to other destination countries
based on mailer requests. Consistent with this policy, the Postal
Service later expanded GPL by adding Canada and the United Kingdom as
destination countries for qualifying mailers (61 FR 13765; March 28,
1996), subsequently expanded GPL further by announcing Brazil, Chile,
and Germany as GPL destinations (62 FR 17072; April 9, 1997), added the
People's Republic of China as a GPL destination (62 FR 25515; May 9,
1997), added Mexico and Singapore as GPL destinations (62 FR 45160;
August 26, 1997), and added France as a GPL destination (62 FR 47558;
September 10, 1997). The USPS is hereby further expanding GPL by adding
Hong Kong as a GPL destination for qualifying mailers. This action
implements an agreement with the postal administration of Hong Kong
dated August 29, 1997.
II. GPL to Hong Kong Special Administrative Region
A. Qualifying Criteria
A mailer who wants to use GPL to Hong Kong must enter into a
service agreement with the Postal Service providing for the following.
First, the mailer must commit to mail at least
[[Page 49916]]
10,000 GPL packages per year (volumes to any GPL country may be counted
toward this minimum). Second, the mailer must designate the Postal
Service as its carrier of choice to Hong Kong. Third, the mailer must
agree to link its information systems with the Postal Service's so that
the Postal Service and the mailer can exchange data on the mailer's
packages, and the Postal Service can extract, on an as-needed basis,
certain information about the package by scanning the mailer-provided
barcode on each package.
In general, the information that must be made available to the
Postal Service includes: the order number; the package identification
number; the buyer's name and address; the recipient's name and address;
the total weight of the package; the total value of the package
contents; the number of items in the package; and, for each item in the
package, its SKU number, its value, and its country of origin. In
practice, this requirement means that the mailer will have to begin the
necessary systems work by the time it begins using GPL, and then will
have to assist the Postal Service in completing and maintaining the
information systems linkages. The Postal Service will use the extracted
information to prepare the necessary customs forms and package labels
and to provide user-friendly tracking and tracing.
In addition to these required commitments, which must appear in all
GPL service agreements, arrangements between the Postal Service and the
mailer that are technical in nature also may appear in the GPL service
agreement. For instance, the service agreement may describe the
electronic data interface (EDI) or proprietary file format that will be
used to transmit data between the mailer and the Postal Service, as
well as the frequency and schedule of transmissions. Similarly, the
service agreement may describe the formats and frequencies for any
exception and performance reports that the Postal Service will provide
to the mailer.
B. Processing and Acceptance
If the plant at which the mailer's GPPL packages originate is
located within 500 miles of a GPL processing facility, the Postal
Service will verify and accept the packages at the mailer's plant and
transport them to the GPL processing facility according to a schedule
agreed to by the Postal Service and the mailer.
If the mailer's plant from which the GPL packages will originate is
located more than 500 miles from a GPL processing facility, the mailer
may choose one of two processing options:
Option One
The mailer will be required to present the packages to the Postal
Service for verification at the mailer's plant and transport them as a
drop shipment to a GPL processing facility according to a schedule
agreed to by the Postal Service and the mailer.
Option Two
The mailer will process the packages using Postal Service-provided
computer system workstations and sort and prepare the packages as
required by the Postal Service. Then, the Postal Service will verify
and accept the packages at the mailer's plant according to a schedule
agreed to by the Postal Service and the mailer and will transport the
packages to a GPL processing facility for dispatch.
C. Customs Forms
Normally, all customs forms will be automatically generated by the
Postal Service computer workstations. Packages mailed to Hong Kong
through a GPL facility are not required to bear customs forms when they
are tendered to the Postal Service. After scanning the mailer-printed
barcode on each package and correlating it with the package-specific
information transmitted by the mailer, the Postal Service will print
the necessary customs forms and then affix them to the mailer's
packages as part of the processing operation at the GPL processing
facility. If the mailer is more than 500 miles from a designated GPL
facility and chooses option two, then the customs/GPL label will be
affixed by the mailer using Postal Service-provided workstations.
D. Customs Clearance
The Postal Service has developed the Customs Pre-Advisory System
(CPAS) as part of GPL processing. This electronic system collects
package-specific data to satisfy customs requirements as packages are
processed using the USPS computer workstations located at a GPL
facility. The system electronically advises the USPS delivery agent and
customs of the contents of each package mailed. Since this advisory
information arrives before the mail, CPAS facilitates and simplifies
customs clearance. Electronic pre-notification of the package contents
and automatic preparation of required customs declarations assures the
fastest clearance through customs in Hong Kong and reduces costs for
the mailer and the Postal Service. To use CPAS, recipients of
merchandise must designate the Postal Service and its customs broker as
their agents for customs clearance.
Any customs duties and taxes for Hong Kong will be collected from
the package recipient upon delivery in Hong Kong.
E. Delivery Options
Hong Kong
The Postal Service will offer one delivery option in Hong Kong:
Premium Service. Premium Service shall receive a level of service
comparable to Express Mail International Service (EMS) service in Hong
Kong. It will include track and trace for individual packages and
delivery throughout Hong Kong within 1 to 2 business days after
clearing customs. Premium Service includes insurance, as provided under
DMM S500, at no additional cost.
The Postal Service will transport Premium Service packages from the
mailer's plant or designated GPL processing facility to Hong Kong via
airlift. Packages will be dispatched to flights either the evening that
processing is complete or the next morning. Arrival in Hong Kong is
expected within 36 hours after dispatch.
F. Rates
Hong Kong
The base rates for GPL service to Hong Kong are set forth below.
The Postal Service will charge the base rates, in 1-pound increments,
for the first 100,000 packages mailed in a 12-month period. Once the
mailer has mailed 100,000 packages, postage for the next packages
mailed by the mailer in the same 12-month period will be reduced by 3%
from the base rates.
Global Package Link to Hong Kong
------------------------------------------------------------------------
Annual volume
first 100,000
packages--no
Weight not over (pounds) discount premium
service
(dollars)
------------------------------------------------------------------------
1..................................................... 15.55
2..................................................... 18.75
3..................................................... 22.00
4..................................................... 25.20
5..................................................... 28.45
6..................................................... 31.65
7..................................................... 34.90
8..................................................... 38.10
9..................................................... 41.35
10.................................................... 44.55
11.................................................... 47.80
12.................................................... 51.00
13.................................................... 54.25
14.................................................... 57.45
15.................................................... 60.70
16.................................................... 63.90
[[Page 49917]]
17.................................................... 67.15
18.................................................... 70.35
19.................................................... 73.60
20.................................................... 76.80
21.................................................... 80.05
22.................................................... 83.25
23.................................................... 86.50
24.................................................... 89.70
25.................................................... 92.90
26.................................................... 96.15
27.................................................... 99.35
28.................................................... 102.60
29.................................................... 105.80
30.................................................... 109.05
31.................................................... 112.25
32.................................................... 115.50
33.................................................... 118.70
34.................................................... 121.95
35.................................................... 125.15
36.................................................... 128.40
37.................................................... 131.60
38.................................................... 134.85
39.................................................... 138.05
40.................................................... 141.30
41.................................................... 144.50
42.................................................... 147.75
43.................................................... 150.95
44.................................................... 154.20
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Number of pieces in contract year Discount
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1-100,000.............................. None.
100,001+............................... 3 percent of base rate.
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III. Conclusion
Accordingly, the Postal Service hereby adopts GPL service to Hong
Kong Special Administrative Region, on an interim basis, at the rates
set forth in the schedules above. Although 39 U.S.C. 407 does not
require advance notice and opportunity for submission of comments, and
the Postal Service is exempted by 39 U.S.C. 410(a) from the advance
notice requirements of the Administrative Procedure Act regarding
proposed rulemaking (5 U.S.C. 553), the Postal Service invites
interested persons to submit written data, views, or arguments
concerning this interim rule.
The Postal Service adopts the following amendments to the
International Mail Manual, which is incorporated by reference in the
Code of Federal Regulations. See 39 CFR 20.1.
List of Subjects in 39 CFR Part 20
International postal service, Foreign relations.
PART 20---[AMENDED]
1. The authority citation for 39 CFR part 20 continues to read as
follows:
Authority: 5 U.S.C. 552(a); 39 U.S.C. 401, 404, 407, 408.
2. Effective on September 24, 1997, subchapter 620 and the
Individual Country Listing pages for Hong Kong in the International
Mail Manual are amended as follows:
6 Special Programs
* * * * *
621.3 Availability
Global Package Link service is available only to Brazil, Canada,
Chile, People's Republic of China, France, Germany, Hong Kong Special
Administrative Region, Japan, Mexico, Singapore, and the United
Kingdom.
* * * * *
623 General
* * * * *
623.3 Size and Weight Limits
[Replace first sentence in paragraph with:]
The weight limits for Global Package Link service are 70 pounds for
Chile, China, and Germany; 66 pounds for Brazil, Canada, France,
Singapore, and the United Kingdom; 64 pounds for Mexico; and 44 pounds
for Japan and Hong Kong Special Administrative Region.
[Replace second sentence in paragraph with:]
The maximum length of GPL packages is 60 inches and the maximum
length and girth combined is 108 inches, with the following exceptions:
Maximum size for Germany is length 47 inches, height 23 inches, width
23 inches; maximum size for the People's Republic of China and Hong
Kong Special Administrative Region for any one dimension is 59 inches;
the sum of the length and the greatest circumference measured in a
direction other than the length shall not exceed 118 inches; Japan
Standard packages weighing less than 1 pound, the maximum length is 24
inches with a height and depth and length combined maximum of 36
inches.
* * * * *
626 Services Available
* * * * *
626.4 Customs
* * * * *
626.43 Payment of Customs Duty 626.431 All Countries Except Japan, the
People's Republic of China, Hong Kong Special Administrative Region,
and Singapore
For all countries except Japan, the People's Republic of China,
Hong Kong Special Administrative Region, and Singapore, the Postal
Service will arrange payment of customs duty on behalf of the recipient
at the time the merchandise enters the country of destination. Any
banking costs or foreign exchange fees applicable to the customs
payments will be charged back to the mailer. The Postal Service will
notify the mailer electronically of the amount of duty and fees paid
and the mailer will reimburse the Postal Service in a manner and within
a time frame agreed to by the mailer and the Postal Service. Because of
the need to have funds available for customs at the time of clearance
in Brazil, Chile, and Mexico, mailers must make an advance deposit
prior to first mailing to cover anticipated duties and taxes in
addition to postage. For subsequent mailings, this account must be
replenished by the mailer after the actual amount of duties and taxes
is assessed. The mailer is responsible for collecting duties and taxes
from the recipient (this can be done when payment for the order is
made). For Mexico, GPL mailers will pay customs the day after the
shipments arrive in customs, through a pre-authorized Automated
Clearing House (ACH) debit program. GPL mailers must agree to allow the
USPS to debit their designated bank account through the ACH debit
program to pay these charges.
626.432 Japan, the People's Republic of China, Hong Kong Special
Administrative Region, and Singapore
In Japan, the People's Republic of China, Hong Kong Special
Administrative Region, and Singapore, any customs duties and fees will
be collected from the recipient at the time of delivery.
* * * * *
Individual Country Listing for Hong Kong:
[Add the rate chart below.]
Global Package Link Service to Hong Kong
------------------------------------------------------------------------
Annual volume
first 100,000
packages--no
Weight not over (pounds) discount,
premium service
(dollars)
------------------------------------------------------------------------
1..................................................... 15.55
[[Page 49918]]
2..................................................... 18.75
3..................................................... 22.00
4..................................................... 25.20
5..................................................... 28.45
6..................................................... 31.65
7..................................................... 34.90
8..................................................... 38.10
9..................................................... 41.35
10.................................................... 44.55
11.................................................... 47.80
12.................................................... 51.00
13.................................................... 54.25
14.................................................... 57.45
15.................................................... 60.70
16.................................................... 63.90
17.................................................... 67.15
18.................................................... 70.35
19.................................................... 73.60
20.................................................... 76.80
21.................................................... 80.05
22.................................................... 83.25
23.................................................... 86.50
24.................................................... 89.70
25.................................................... 92.90
26.................................................... 96.15
27.................................................... 99.35
28.................................................... 102.60
29.................................................... 105.80
30.................................................... 109.05
31.................................................... 112.25
32.................................................... 115.50
33.................................................... 118.70
34.................................................... 121.95
35.................................................... 125.15
36.................................................... 128.40
37.................................................... 131.60
38.................................................... 134.85
39.................................................... 138.05
40.................................................... 141.30
41.................................................... 144.50
42.................................................... 147.75
43.................................................... 150.95
44.................................................... 154.20
------------------------------------------------------------------------
------------------------------------------------------------------------
Number of pieces in contract year Discount
------------------------------------------------------------------------
1-100,000.............................. None
100,001+............................... 3 percent of base rate.
------------------------------------------------------------------------
* * * * *
Stanley F. Mires,
Chief Counsel Legislative.
[FR Doc. 97-25356 Filed 9-23-97; 8:45 am]
BILLING CODE 7710-12-P