UPS Announces Rate Increases
UPS Inc. announced rate increases of 4.9% on average for the majority of its business, citing higher costs and other factors.
The 4.9% increase applies to Ground rates and accessorial charges Dec. 28 and at UPS Freight on Oct. 26. A 5.2% rate hike, also on average, was set Dec. 28 for Air Services on international and North America-based shipments.
UPS increase announcements followed a month after rival FedEx Corp. announced 4.9% average increases on all types of packages and freight, effective Jan. 4.
“The rate and surcharge changes are to address the impact of increased costs, changing demand for select UPS products and other market factors,” said the statement from UPS, which ranks No. 1 on the Transport Topics Top 100 list of the largest U.S. and Canadian for-hire carriers. FedEx is No. 2.
Surcharge adjustments for both companies are slated for Nov. 2.
UPS also said it will charge, starting Jan. 4, for third-party billing services.
In the less-than-truckload sector, carriers such as Con-way Freight also have announced rate increases to take effect this fall. Con-way Freight is a unit of Con-way Inc., which ranks fourth on the for-hire TT100.
