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FedEx is raising its shipping rates

Mark White by Mark White
September 20, 2021
in Supply Chain
0


The increase is set to take effect on Jan. 3, 2022, and will apply to all US domestic, US export and US import services. FedEx Ground, which delivers to businesses, and FedEx home delivery will increase by an average of 5.9%. FedEx Freight customers could see an increase of up to 7.9%.

Freight shipping rates will also increase for shipments within Canada and Mexico, as well as between those countries and the contiguous United States, the company said.

The shipping crisis is getting worse. Here's what that means for holiday shopping

But FedEx customers may also see a price increase before the holiday season.

Starting Nov. 1, a fuel surcharge will be added to certain FedEx shipments, including FedEx Express, FedEx Ground and FedEx Freight shipments.

“These changes reflect incremental costs associated with the challenging operating environment,” the company said in a statement.

Last month, the United States Postal Service requested a temporary price increase on a variety of mail services for the peak holiday season to offset rising delivery costs. A similar price increase had been implemented during the 2020 holiday season.
Global shipping is still in crisis, with backlogs looming over the holiday period. With both supply chain delays and soaring consumer demand, shipping containers have become backed up, making it much more expensive for companies to ship their goods.

– CNN’s Julia Horowitz, Alison Kosik and Moira Ritter contributed to this report.



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Mark White

Mark White

Mark White is the editor of the ProcurementNation, a Media Outlet covering supply chain and logistics issues. He joined The New York Times in 2007 as an commodities reporter, and most recently served as foreign-exchange editor in New York.

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