USPS, FedEx and UPS 2023 Peak Shipping Season

October 5, 2023
  

 

Peak shipping season is here. Over the past few years, we've observed an increase in shipping rates during the holiday season. This year, there's a noteworthy change: USPS won't add any holiday surcharges, but FedEx and UPS will still implement demand surcharges. Let's dive into the specific extra fees you need to consider for each shipping carrier as you gear up for the holiday shipping rush.

 

USPS: No Holiday Surcharges

Here's the good news! USPS has announced that they won't impose any additional surcharges for customers this holiday season. There will be no extra fees for residential area delivery, Saturday delivery, or minimum volumes.

“We are prepared to deliver for the holidays efficiently. We've planned ahead and invested in our people, infrastructure, transportation, and technology, all made possible by the Delivering for America plan. With no holiday surcharges, we are well-positioned to be America’s most affordable delivery provider this holiday season,” said Postmaster General and CEO Louis DeJoy.

Read the USPS Announcement >>

 

FedEx Demand Surcharges

When: October 2, 2023 until January 14, 2024

Additional Handling Surcharge:

Packages that require special handling due to size limitations

  • Applicable Services: U.S. Express Package Services, U.S. Ground Services, International Ground Service
  • Surcharge Amount: $6.95 per package

Oversize Charge:

Applies to packages that exceed required shape and dimensions (exceeds 90 in. length and 130 in. length and girth). Learn more about DIM Weight >>

  • Applicable Services: U.S. Express Package Services, U.S. Ground Services, International Ground Service
  • Surcharge Amount: $73 per package

Ground Unauthorized Package Charge:

A heavy surcharge on packages that exceed length, girth and weight requirements (over 150 lbs.)

  • Applicable Services: U.S. Ground Services, International Ground Service
  • Surcharge Amount: $410 per package

Demand — Residential Delivery Charge:

Extra fee for delivery to a location that is identified as residential or a home-based business by FedEx delivery drivers. 

  • Applicable Services: FedEx Express, FedEx Ground U.S. domestic residential packages (excluding FedEx Ground Economy, and FedEx One Rate® packages).
  • Surcharge Calculation: Refer to the peaking factor chart provided by the carrier.

Demand Surcharge (FedEx Ground® Economy Package Services):

Additional fee added to the regular cost of shipping during the busy, “peak” holiday season.

  • Oct. 30, 2023–Nov. 26, 2023: $1.60 per package
  • Nov. 27, 2023–Dec. 10, 2023: $2.60 per package
  • Dec. 11, 2023–Jan. 14, 2024: $1.60 per package

Learn more on FedEx Website >>

 

UPS: Demand Surcharge for High Volume Shippers (More than 20,000 Packages)

When: October 29, 2023 until January 13

UPS has introduced demand surcharges for businesses that ship high volumes during the peak season. These surcharges apply to customers who send more than 20,000 packages via UPS SurePost®, UPS Air Residential, UPS Ground Residential, UPS Next Day Air Residential, or UPS Air Residential.

The surcharge varies depending on the service level and the percentage of volume increase compared to the baseline volume. Costs range from $1.35 to $7.50 per package.

Learn more on the UPS Website >>

 

Avoid surcharges & extra fees!

Don’t get stuck in a rut with the same services or carrier. You can compare shipping services and other carriers beforehand, resulting in service-level optimizations, better postage rates, and delivery times that still fit your schedule.

Talk about your shipping strategy with a Quadient expert.

contact us >>

 

 

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