UPS Trucks in Traffic

UPS Releases Rate Adjustments for 2022

UPS announced that the published rates for its UPS Ground and UPS Air services will increase by an average of 5.9% effective December 26, 2021.

This average rate increase matches rate adjustments already announced by rival carriers FedEx and DHL.

But as has been the case for several years, UPS rates increase in late December after Christmas, while the other carriers increase their rates in early January.

UPS is also increasing the rates for certain Value-Added services and Other Charges:

As of January 9, 2022, the carrier will also be renaming “Peak Surcharges” to “Peak/Demand Surcharges” and adjusting the Zip Codes for which Area Surcharges will apply.

Also, the list of Zip Codes to which the Remote Area Surcharge applies will include select Zip Codes in the 48 contiguous states.

UPS did not explain why it is changing the name of the Peak Surcharges to add the word “Demand” now.

“Peak” is the defacto standard term in the industry to identify the holiday season. Is UPS preparing for the possibility of implementing short-term surcharges during other times of the year?

UPS Air Freight Rate Adjustments

On December 26, 2021, UPS is also adjusting its rates by an average increase of 5.2% for UPS Air Freight within and between the US, Canada, and Puerto Rico.

Other UPS Adjustments

Along with this price increase announcement, UPS also announced an update to its US Fuel Surcharges for Ground and Air services, effective November 15.

And shippers should not forget about applicable Peak Surcharges, some of which are already in effect for this holiday season.

For more information about UPS rate adjustments, please see the UPS Website.

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