Heads Up FedEx Shippers: New Surcharges Are Coming (effective Sept. 3rd)

 In Industry News

FedEx announces new surcharges (effective Sept 3rd) for the following charges: Additional Handling (weight), Oversize/ Large Package (residential), Unauthorized Oversize/ Over Maximum, and Audit Fee (shipping charge correction).

This move brings FedEx in line with surcharges already implemented in June and July by UPS — and eliminates a price advantage held by FedEx shippers.

Below is a tabled recap of all the mid-year pricing changes from both carriers and their effective date:

2018 Mid-Year Carrier Surcharge Rate Hikes
Charge UPS 2018 UPS 2018 (New) Eff. Date FDX 2018 FDX 2018 (New) Eff. Date
Additional Handling – Weight $12.00 $19.00 7/8/2018 $12.00 $20.00 9/3/2018
Oversize/Large Package – Residential $80.00 $90.00 7/8/2018 $80.00 $80.00 n/a
Unauthorized Oversize/Over Max $500.00 $650.00 6/4/2018 $300.00 $675.00 9/3/2018
Audit Fee – Shipping Charge Corrections n/a  6% of total or $1/per 6/4/2018 n/a  n/a  n/a

Notable in the announcement is the new rate for Additional Handling – Weight (packages over 70lbs), which jumps rom $12 to $19 (UPS) and $20 (FedEx).

Also, the new rate for Over Max/Unauthorized Oversize jumps from $500 to $650 (UPS) and from $300 to $675 (FedEx).

As with all rate announcements from the carriers, we recommend a detailed review of the impact of the changes on your specific shipping program. The real impact of all surcharges is individual to each company. Contact us via www.transportationimpact.com for a no obligation consultation to help you understand precisely what the changes mean to your shipping costs.

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