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Ecommerce May Not Save the USPS
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Ecommerce May Not Save the USPS

Practical Ecommerce·Armando Roggio·23 days ago
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For two decades the ecommerce industry has helped stabilize the U.S. Postal Service, but recent financial results suggest package delivery alone may not generate enough profit to sustain the carrier’s nationwide network. The USPS reported a $2 billion loss for the second quarter of fiscal 2026, which ended March 31, even as package revenue increased 4.5% year over year. Yet losing $2 billion is an improvement over the same quarter last year, when it lost $3.3 billion. It is nonetheless clear that the USPS cannot meet congressionally mandated price and service requirements and break even. “The Postal Service remains in a serious financial crisis,” said Postmaster General David Steiner at the May 8, 2026, USPS Board of Governors meeting. “The status quo is not sustainable, and it would be irresponsible to pretend otherwise.” Structural Tension The Postal Reorganization Act of 1970 created the modern USPS, which began operations on July 1, 1971.…

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