At most the subsidy reduces prices by 0.1% for goods from China. If all foreign packages only cost the US $300 million a year (from article), China's portion has to be less than that. We buy $462 billion in goods from China.
It's also worth remembering that the subsidy goes to both the American consumer and the Chinese supplier. Eliminating it helps the American supplier and hurts the Chinese supplier and American consumer.
Probably no one bothered to fix it because it's such a minor issue. It's also difficult to change treaty agreements, oddball stuff tends to stick around for awhile just because the cat herding is so difficult.
It's reasonable to remove this subsidy, and probably good to do so before more people take advantage of it.
This is a big emotion story but it's not that important.
It's also worth remembering that the subsidy goes to both the American consumer and the Chinese supplier. Eliminating it helps the American supplier and hurts the Chinese supplier and American consumer.
Probably no one bothered to fix it because it's such a minor issue. It's also difficult to change treaty agreements, oddball stuff tends to stick around for awhile just because the cat herding is so difficult.
It's reasonable to remove this subsidy, and probably good to do so before more people take advantage of it.
This is a big emotion story but it's not that important.