Trump plans executive order to put USPS under federal control

President Donald Trump is expected to issue an executive order for the federal takeover of the U.S. Postal Service (USPS), according to The Washington Post.

Sources familiar with the plan told The Washington Post that Trump is expected to issue an executive order disbanding the Postal Service’s governing board and transferring control of the independent agency to the Commerce Department.

In December 2024, President Trump expressed interest in privatizing the Postal Service, stating, “There is talk about the Postal Service being taken private… It’s an idea that a lot of people have liked for a long time.”

According to a December report by WaPo, Trump had discussed privatizing USPS with transition officials, including Howard Lutnic, who is now in charge of the Commerce Department.

The USPS has faced significant financial challenges, reporting a $9.5 billion loss in the 2024 fiscal year, according to Federal News Network. The agency operates under a “universal service obligation,” ensuring consistent rates nationwide, a standard that may not continue under private ownership.

“Privatization would end universal service,” said Mark Dimondstein, president of the American Postal Workers Union, in December. “Right now, the USPS delivers to every address, regardless of who we are or where we live. Universal service is especially important to rural America. Privatization also would lead to price-gouging by private companies.”

The Postal Service’s board has instructed officials to sue the White House if Trump attempts to restructure the agency, including by firing its leadership or altering its independent status, WaPo reported. Trump’s order to place the Commerce Department in charge of the Postal Service likely violates federal law.

The Postal Reorganization Act of 1970 established the USPS as an independent entity, meaning any substantial changes to its governance would likely require congressional approval and could face legal challenges.