As 2021 comes to an end, FedEx® is again leading the charge in announcing rate increases for the new year. Starting January 3, 2022, FedEx® will increase its rates by an average of 5.9%, according to Fedex’s current rates guide. FedEx® rival UPS® has yet to announce its rate increase for 2022, but it can be assumed that UPS will follow in the footsteps of FedEx when it comes to rate increases. As most shippers are aware by now, that 5.9% can nearly double and be as much as a 12.5% increase in some cases.
FedEx® 2022 general rate increases
This year FedEx® has announced an increase in FedEx Express®, FedEx Ground®, FedEx Ground® Economy, and FedEx Freight®. More information on the rate changes can be found here. FedEx® blames COVID-19 and disruptions in the global supply chain as the reasons for making customers bear the constant rate increases.
Effective Nov. 15, 2021
FedEx® Freight continues to monitor market and network demands to provide our customers with the best possible service.
Effective Nov. 15, 2021, Item 525 Over Length and Item 530 Extreme Length surcharges will increase.
Effective Nov. 1, 2021
A fuel surcharge increase will be applied to FedEx Express® (domestic package and freight services), FedEx Ground®, and FedEx Freight® shipments beginning Nov. 1, 2021.
The tight labor market and ongoing shifts in volume have created the need for frequent network adjustments and the repositioning of aircraft, vehicles, and other equipment on a regular basis. This has increased our total fuel consumption, and the corresponding increase in the fuel surcharge will allow FedEx® to provide customers with the best service possible as we adjust to rising fuel costs and spikes in demand.
We will continue to evaluate our fuel surcharge as the market dynamics continue to shift. Updated information about all changes can be found here.
Effective Jan. 3, 2022
- FedEx Express®, FedEx Ground®, FedEx Ground® Economy, and FedEx Freight rates will increase.
- There will be changes to shipping surcharges and fees that may apply to your shipment and affect your total shipping rate.
- There will be changes to the Delivery Area Surcharge ZIP code lists for FedEx Express® and FedEx Ground®. View the Delivery Area Surcharge ZIP code changes PDF.
More delivery time options for your international customers
Beginning January 3, 2022, FedEx® will offer customers who ship internationally an additional option for time-definite deliveries in one to three business days. With the new FedEx International Priority® Express service, customers will be able to schedule delivery by noon to select destinations. Early morning delivery will continue to be available through the FedEx International First® service and end of day delivery to more than 220 countries will continue to be offered through the FedEx International Priority® service.
To use this new service, customers will need the latest version of the FedEx-enabled automation. Customers who have questions about their current automation solution should contact the Technical Support team at 1.877.339.2774 or reach out to their sales professional.
Effective January 2022
The following FedEx Express®, FedEx Ground®, FedEx Ground Economy® and FedEx Freight®surcharge changes will take place:
- Effective Jan. 17, 2022, FedEx Freight® will introduce a No Shipment Tendered surcharge that applies when a pickup is performed and no shipment is tendered to the carrier.
- Effective Jan. 17, 2022, the International Out-of-Delivery-Area Surcharge and International Out-of-Pickup-Area Surcharge 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.
- Effective Jan. 17, 2022, a Delivery and Returns Surcharge will be assessed on packages that are delivered or returned using FedEx Ground Economy® services.
- Effective Jan. 24, 2022, the Additional Handling Surcharge and Oversize Charge rates for U.S. Express Package Services and U.S. Ground Services will be determined based on the shipment’s zone.
- Details on these changes can be found here.
FedEx® surcharges and rate increases don’t surprise Share A Refund
The number of rate changes and surcharge increases can be disorienting for even the sharpest shipper. The Share A Refund Auditing Team is trained to dissect these surcharges on your shipping account, perform a cost analysis, analyze your shipping profile and generate a proposal of savings.
It’s more important than ever to cut transportation costs. Share A Refund can help. Make sure you prioritize calling the Auditing Team at the top of your to-do list before these surcharges take effect. You are one phone call away from reducing transportation costs and improving supply chain efficiency.
