US Postal Service seeks to increase stamp prices to 73 cents

The U.S. Postal Service (USPS) said Tuesday it hopes to increase the price of regular stamps from 68 cents to 73 cents starting July 14.

The proposal, which must be approved by the Postal Regulatory Commission, would increase the price of mail service products by 7.8%.

The U.S. Postal Service (USPS) reported in November a net loss of $6.5 billion in the 12 months ended September 30 as first-class mail volumes fell to their lowest levels since 1968. Stamp prices have risen 36% in the past four years from 50 cents in early 2019.

The Postal Service has been aggressively raising stamp prices and is implementing a 10-year restructuring plan announced in 2021 that aims to eliminate an estimated $160 billion in losses over the next 10 years, after previously forecasting breakeven in 2023.

The U.S. Postal Service raises stamp prices twice a year and said it expects “the new pricing policies to generate $44 billion in additional revenue” by 2031.

Many lawmakers have expressed concerns about changes the USPS plans to make to its processing and delivery network that could impact timely deliveries.

First-class mail volumes fell 6.1% to 46 billion items in the 12 months to September 30, 2023, down 53% since 2006 and the lowest volume since 1968, but revenue fell as stamp prices rose The price increased by $515 million.