2019 General Rate Increase (GRI) for USPS, FedEx and UPS

USPS

USPS announced its GRI will take effect January 27, 2019.

The Details:
Priority Mail Express will increase 3.9%
– Priority Mail will increase 5.9%.
– Mailing Services product prices will increase 2.5%
– First-Class Package Service will move to zone-based pricing
– First-Class Mail Forever stamps will increase from $.50 to $.55

USPS’ dimensional weight (DIM) pricing is also increasing substantially. Currently, the Postal Service only uses DIM pricing for Zones 5-9 Priority Mail. In Q2 2019, expect USPS to implement DIM pricing for all Priority Mail, Priority Mail Express and Parcel Select packages that are larger than one cubic foot. Furthermore, the DIM will be reduced from 194 to 166—a small change that can have a big impact on parcel shipping costs. https://about.usps.com/news/national-releases/2018/pr18_086.htm

FedEx

FedEx announced its GRI will take effect January 7, 2019.

The Details:
– FedEx Express and FedEx Ground will increase by an average of 4.9%
– FedEx Freight will increase by an average of 5.9%.
– Look out for changes to FedEx surcharges and minimums
– FedEx Express and Ground minimum increases will range from 3.5% to 5.4%.

Remember, increases will not be implemented across the board. While FedEx Express and Ground report that “on average” rates are going up 4.9%, some categories will experience hikes as high as 8.2%. For example, Surcharges and Fees will be increasing in most cases upwards of 5%, and the Print return labels pricing is doubling. Be aware of how you send packages and take action if necessary to soften the blow of the increases. https://www.fedex.com/en-us/shipping/current-rates.html

UPS

Most of UPS’ GRIs take effect December 26, 2018.

The Details:
– The rates for UPS Ground, Air and International services will increase an average 4.9%.
– Fuel surcharges will apply to Additional Handling, Over Maximum Limits, Signature Required and Adult Signature Required accessorials.
– A $2.00 processing fee 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. https://www.ups.com/us/en/shipping/rates-update.page?WT.mc_id=VAN701700

Offer 1-day and 2-day shipping at ground rates or less.

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