USPS Seeks Lifeline in 'Last-Mile' Delivery Shift

The U.S. Postal Service (USPS) is seeking to increase revenue from its last-mile delivery network to stave off a looming financial crisis. Postmaster General David Steiner aims to engage major retailers like Amazon, proposing reforms to avoid running out of cash by early 2027.

The U.S. Postal Service is exploring ways to enhance its 'last-mile' delivery income to avert a projected financial crunch. USPS Postmaster General David Steiner revealed plans to invite major players such as Amazon to bid for opening 18,000 delivery units to expand service reach and boost revenue.

The USPS, serving over 170 million addresses six days a week, views last-mile delivery as a crucial and costly segment. Addressing a $9 billion annual loss and pending liquidity issues by 2027, Steiner emphasized the need for administrative and legislative changes, including lifting the $15 billion borrowing cap.

As negotiations with Amazon progress, Steiner stresses the urgency of finding fair pricing for its delivery services, with significant company interest in USPS's capacity. He underscores the critical relationship between USPS and Amazon, stressing mutual reliance for success.

(With inputs from agencies.)