A Commentary on the Article on Expedited Shipments in the WTO Trade Facilitation Agreement 12 Global Trade and Customs Journal 2017

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12 Global Trade & Cust. J. 141 (2017)
A Commentary on the Article on Expedited Shipments in the WTO Trade Facilitation Agreement

handle is hein.kluwer/glotcuj0012 and id is 144 raw text is:

A Commentary on the Article on Expedited Shipments

in the WTO Trade Facilitation Agreement

Hao Wu'

The Article on Expedited Shipments in the WTO Trade Facilitation Agreement (TFA) will have a significant impact on the express shipping
industry. This article provides a commentary on the Article through an analysis of various questions that will arise from its implementation. The
commentary aims to assist the stakeholders in preparing for implementation of this article.

I INTRODUCTION

The history of the express shipping industry began in the
mid-nineteenth century, when several express shipping com-
panies (e.g. Wells Fargo established in 18521 and the Pony
Express established in 18602) were launched. In 1872,
Montgomery Ward established the first mail order house3
in Chicago and, via parcel post, distributed catalogues filled
with merchandise for sale to rural Americans. The express
shipping industry subsequently boomed; a broad variety of
merchandise, especially small items, was shipped either by
the monopolistic national postal service or by private
companies. An American magazine depicted the market of
express shipping at that time as:

Express companies extend their business wherever it
promises to pay. The Post-office extends its operations
wherever there are settlers.6

During the twentieth century, especially in the 1970s,7 the
express shipping industry expanded dramatically due to
demands for speed (just-in-time methods), efficiency, and
reliability in shipping goods. These demands were met by
customized mass production, lean inventory management,
e-commerce, improvements in transportation (especially
aviation) and the use of advanced technology in logistics.
The express shipping industry is now considered to be
one of the fastest growing sectors in the global economy, a
generous job provider and an important contributor to
national Gross Domestic Product (GDP).9 Moreover, it
can be argued that the express shipping industry is vital
for a country's logistics infrastructure and also the global
business environment.10 Whatever the size or impact of
the express shipping industry may be, it is evident that it
plays a critical part in both domestic and international
trade.

He is working at the Research Unit of the World Customs Organization (WCO), email: hao.wu@wcoomd.org. The views in this article are those of the author and are not
necessarily the views of the WCO or its member customs administrations. The author appreciates the edits made by Robert Ireland and Rachel McGauran.
See Philip L. Fradkin, Stagecoach: Wells Fargo and the American West (Free Press 2002).
2 See Glenn Danford Bradley, The Story of the Pony Express: An Account of the Most Remarkable Mail Service Ever in Existence, and Its Place in History (A. C. McClurg & Company
1913).
Rita L. Maroney, History of the U.S. Postal Service, 1775-1982 6 (The Service 1983).
4 U.S. Postal Service, Universal Scrvice and thc Postal Monopoly: A Brief History 8 (2008).
Ibid
6 See Harper's Weekly (7 Dec. 1889).
Oxford Economics, The Impact of the Express Delivery Industry on the Global Economy 5 (2009), http://www.euroexpress.org/uploads/ELibrary/REPORTS & STUDIESThe
Impact of the Express Delivery Industry on the Global Economy, September 2009.pdf (accessed 18 Jan. 2017).
Edward K. Morlok et al., The Parcel Service Industry in the U.S.: Its Size and Role in Commcrcc i (2000), http://www.seas.upenn.edu/~morlok/morlokpage/parcelfullrpt.pdf
(accessed 18 Jan. 2017).
See Oxford Economics, spra n. 7.
o See WTO, TN/TF/W/15.

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Global Trade and Customs journal, Volume 12, Issue 4
© 20 17 Kluwer Law International BV. The Netherlands