FedEx to increase shipping rates starting in 2022

National

(WFRV) – Those who use FedEx for their shipping services can expect to pay more starting in 2022.

According to FedEx, most of their services like FedEx Express and FedEx Ground will increase by an average of 5.9%. FedEx says the reason for the changes is to ‘reflect incremental costs associated with the challenging operating environment.’

The list of what is increasing and by how much includes:

  • Average of 5.9%
    • FedEx Express (U.S. domestic, U.S. export and U.S. import services)
    • FedEx Ground
    • FedEx Home Delivery
    • FedEx Freight for customers who use FXF PZONE and FXF EZONE
  • Average of 7.9%
    • FedEx Freight for customers who use FXF 1000 and 501

While the rates won’t increase until 2022, there will be a fuel surcharge increase starting Nov. 1, 2021. The increase applies to FedEx Express, FedEx Ground and FedEx Freight shipments.

In addition to the fuel surcharge increase, there are four other changes to surcharges including:

  • Jan. 17, 2022
    • FedEx Freight will introduce a No Shipment Tendered surcharge that applies when a pickup is done and no shipment is tnedered to the carrier.
    • The International Out-of-Delivery-Area Surcharge and International Out-of-Pickup-Area Surchage rates will be determined based on the corresponding tier of the ZIP code, postal code or city of the shipment’s origin and/or destination location for International Express Freight and Parcel services.
    • A Delivery and Returns Surchage will be assessed on packages that are delivered or returned using FedEx Ground Economy services.
  • Jan. 24, 2022
    • Additional Handling Surcharge and Oversize Surcharge rates for U.S. Express Package Services and U.S. Ground Services will be deteremined based on the shipment’s zone.

There was no information given on the exact amount the surcharges will increase by, as well as if the average increase in rates will drastically vary by location.

An example of shipping a one-pound package from Green Bay to Chicago using FedEx Home Delivery would cost $11.21 compared to the current cost of $10.59. This does not include the upcoming fuel charge increase and is using the given average increase of 5.9%.

More information regarding FedEx’s changing shipping rates can be found on their website.

Copyright 2021 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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