Shipping Carrier Rate Change Updates
Throughout the year, UPS® and FedEx®, similar to the USPS®, update their rates. Below are the highlights of the most recent rate changes.
UPS Rate Change Highlights
Rates as of December 26, 2023
There was an average 5.9% general rate increase across base pricing and accessorial fees.
- Package minimums are now $10.70
- For most services, Shorter Zones (2-4) average increase is lower than the 5.9% increase to better compete with Regional Carriers.
- Nearly 8% average increase for Zones 5+ for 2nd Day Air and 3-Day Select.
- Ground residential surcharge up 7.6% to $5.65
- Delivery Areas Surcharges for Residential Ground up from $5.30 to $5.70
- Address Corrections from $19.50 to $21
- 7% increase for UPS® Ground, UPS 3 Day Select®, UPS 2nd Day Air®, UPS Next Day Air Saver®
- Additional Handling (Weight, Dimensions, Packaging) increases range from 18-21%
- Large package surcharge for zone 2 up from $160 to $190
- ~9% increase for Over Maximum packages
- UPS Residential Surcharge up 7.6% in addition to delivery area surcharges (DAS)
For more details and the full rate card, click here.
Create a free UPS account in PitneyShip® software to:
- Lower shipping costs: Access up to 78% off UPS Ground rates and 82%* off international services.
- Eliminate surcharges: Avoid peak and other common surcharges, including fuel and Saturday Delivery for Ground shipments.
- Start shipping today with no volume requirements: Create an account to access UPS rates and compare rates across carriers.
FedEx Rate Change Highlights
Rates as of January 1, 2024
There was an average 5.9% general rate increase across base pricing and accessorial fees.
- Package minimums are now $10.70
- Additional Handling Surcharge (Weight) for zone 3-4 is up more than 21% from $19 to $23
- Oversize up almost 19% for Home Delivery with zone 2 increasing from $160 to $190
- 20+% increases for additional handling on shipments going to Zone 7+ across the board
- Address Corrections up from $21 to $22.50
- More important than ever to address your address issues
- Delivery Area Surcharges up over 7% for US Express Residential, Ground Residential and Home Delivery
- Remote area surcharge continues in 2024 and rises from $13.25 to $14.15 per package, a 6.3% increase for 2024
On April 5, 2023, FedEx announced that it will be consolidating its operating companies into one organization under Federal Express Corporation, to achieve its long-term goal of saving $4 billion by 2025. The consolidation will bring FedEx Express, FedEx Ground, FedEx Services, and other operating companies under a single company, expected to be fully implemented by June 2024. FedEx Freight will continue to operate as a stand-alone company. Check back for continued updates on the ever-changing carrier market.
For more details and the full rate card, click here.
*Discounts off UPS daily rates. Rates are limited to shipping from the U.S. only. Rates and any applicable discounts are subject to change at any time without notice.