FedEx Boosts Shipping Rates, Surcharges Before Holidays
FedEx said that it will raise shipping rates in January and increase surcharge on large packages in November, which could impact e-commerce businesses during the holiday season.
According to Fox CT, rates for FedEx Express, FedEx Ground, FedEx Home Delivery and FedEx Freight will rise an average of 4.9 percent in January.
For packages that weigh more than 150 lbs., are longer than 9' or more than 13'9" in length and girth combined, the surcharge will increase to $110 from $57.50, effective Nov. 2.
FedEx said that this surcharge increase is because people are shipping larger packages and that residential deliveries have increased, which increases fuel usage.
UPS has a similar surcharge, which adds $200 to a shipment the size of 100 shoeboxes, according to Street Insider.
FedEx increased shipping rates in January 2015, as well. Before that, it increased freight shipping rates by 3.9 percent in March 2014.