China may spin off postal system
2 November 2006
Plans to turn China's postal system into a US$10 billion stand-alone company may be moving forward. In a document published this week, the State Council detailed the plan finalized in August, the Wall Street Journal reported. The plan would see China Post injected into a new state-owned company with the State Postal Bureau becoming a purely regulatory organization. China Post is one of the last businesses still run directly by the government. The plan, if it goes ahead, could address some of the criticisms from the world's largest express delivery companies over the country's rules on the delivery of documents and parcels. Companies like FedEx, UPS, DHL and Deutsche Post AG say the government acts as regulator and competitor.