Every year, major carriers like UPS & FedEx implement a General Rate Increase (GRI)—and 2025 is no different. However, the announced GRI often doesn’t tell the full story. A couple quick notes:
- UPS seems to be more focused on handling large packages more so than FedEx.
- USPS also increased some rates but how they approach rate increases and implement the changes is slightly different compared to UPS & FedEx. I'll focus USPS in a later post.
Here’s a breakdown of some key changes for UPS and FedEx in 2025:
UPS
Surcharges:
Additional Handling Charges (AHC) & Large Package Surcharges (LPS):
Delivery Area Surcharges:
Shipping Rates:
Domestic Ground (Residential): Average
Longer-distance shipments (Zones 5–8): Higher increases
2nd Day Air:
FedEx
Surcharges:
Additional Handling Surcharge:
Oversize Surcharge:
Shipping Rates:
Residential Home Delivery:
FedEx Overnight:
Two-Day & Express Saver (Zones 5–8):