Delivery rates for e-commerce firms raised to protect couriers

• Published date: 25 October 2021
• Publication title: Shanghai Daily

Leading courier firms have raised delivery charges for some e-commerce sellers to "regulate the market price" ahead of next month's Singles Day shopping spree.

Key courier operators, including Shanghai-based ZTO, YTO, and Yunda, as well as the Indonesia-based JandT Express, have announced price increases for some online sellers "who have long been enjoying low-cost delivery services."

Charges for individual customers won't be affected by the current round of price adjustment, the courier firms said in their statements.

Due to fierce competition, delivery rates for some e-commerce vendors have long been far below the actual costs to the courier firms, despite increasing labor and operational costs, ZTO Express said.

"The phenomenon has not only disturbed the market but also severely affected the stable operation of franchise outlets of courier firms," it said.

"The price adjustment was introduced ahead of peak season to ensure sustainable quality services to customers." Singles Day is November 11.

YTO Express said the price increase only targets online vendors paying lower rates than courier companies' operating costs. The prices for individual customers remain the same as listed on the official website.

YTO official said a price increase of less than one yuan would impact prices of online products, but only slightly affect online vendors' profits.

Price competition among delivery firms has forced many outlets to operate with marginal profits, or even below cost. YTO has...