Japan Post Hikes Postal Charges as Mail Usage Plummets
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On October 1, Japan Post increased postal charges for standard letters and postcards by more than 30%, citing a reduction in the usage of postal services and higher delivery costs. Excluding rises due to consumption tax hikes, this is the first increase for standard letters since 1994.
According to Japan Post, it posted a loss in fiscal 2022 for the first time since privatization. The increase in charges will allow it to return to the black in fiscal 2025, but it expects to post losses again from the following year, with the company describing conditions as “extremely severe.”
The volume of mail handled has plummeted. With the increased use of the internet, social media, and web-based billing, as well as corporate cuts in expenditure on postal communication and marketing, there looks to be no way to halt the decline.
The volume of domestic standard postal items peaked at 26.2 billion in fiscal 2001, and has been declining ever since, with the total for fiscal 2023 at 13.6 billion. This represents a 48.3% decrease over 22 years, or around a 3% decrease each year.
On October 1, the price to send a postcard within Japan rose from ¥63 to ¥85 and the price for a standard-size letter (25 grams or less) from ¥84 to ¥110. Japan Post released 12 new designs for standard stamps to coincide with the increase.
(Translated from Japanese. Banner photo: New ¥110 and ¥85 stamps displayed in Tokyo on June 13, 2024. © Jiji.)