Source: UPS / www.ups.com / December 5th, 2018
Effective December 26, 2018, the published rates for UPS services will increase. This supports ongoing expansion and capability enhancements as they strive to maintain the high service levels you expect from UPS. Below is an overview of our 2019 Rates.*
The following changes will be effective December 26, 2018:
- The rates for UPS® Ground, UPS Air and International services will increase an average net 4.9%.
- Fuel surcharges will apply to Additional Handling, Over Maximum Limits, Signature Required and Adult Signature Required accessorials.
- A processing fee of $2.00 per package will be charged when Package Level Detail (PLD) is not provided to UPS prior to delivery.
- The rates for certain value-added services and other charges will increase.
Among the changes to accessorial charges are increases to Additional Handling, Large Package, Over Maximum Limits, and Third Party Surcharges.
UPS increased Additional Handling, Large Package, and Over Maximum Limits fees in January 2018 and again in the Summer of 2018 by 58%,13%, and 23% respectively. They now increasing by 18%-21%, 18%-27%, and 40% from the Summer increases. There has been a lot of talk about these increases forthcoming. These three increases amount to over 91% in increased Additional Handling Weight charges.
Naturally, the 2019 General Rate Increase announcement has an average of 4.9% which is not always the case depending on the service levels and zones your shipping within. For example, SurePost <1lb increases 9.34% overall and is variable by zone from 8.95% to 9.97%.
It is important to note that these changes were announced only 21 days before they go into effect, which in most cases is against the 30 day requirement by UPS to implement changes within your negotiated carrier agreement.
It is important to evaluate how these changes will affect your overall shipping costs as well as determining if there is any action that could be taken internally to avoid or mitigate these additional costs. UPS shippers should consider reaching out to their Account Representatives to see about minimizing the overall cost increases.
UPS Links to Review Charges:
2019 Preview Package Rates
Preview 2019 UPS Daily Package Rates
Preview 2019 UPS Alaska and Hawaii Daily Package Rates
Preview 2019 UPS Retail Package Rates
Preview 2019 UPS Alaska and Hawaii Retail Package Rates
Preview 2019 UPS Hundredweight Service Package Rates
Preview 2019 Delivery Area Surcharge Zip Code Listing
Preview 2019 Extended Area Surcharge Zip Code Listing
Preview 2019 UPS SurePost® Rates
Domestic Air Fuel Surcharge
Effective December 31, 2018, the Domestic Air Fuel Surcharge will increase by 0.25% for all thresholds. These surcharges will continue to be based on the national Average U.S. Gulf Coast Jet Fuel Price and adjusted weekly.
Effective December 26, 2018, the rates for UPS Air Freight within and between the U.S., Canada, and Puerto Rico will increase an average net 4.9%.
*The impact of these charges on your shipping costs will vary according to your shipping characteristics and the terms of your UPS agreement.
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