FedEx announces US rate increases
FedEx Corp. is raising its rates for air and ground shipments, effective Jan 5.
FedEx Express, the company’s cargo carrier, will boost rates an average of 2.5 percent for domestic and foreign shipments, the Memphis-based package delivery company announced. FedEx Ground domestic rates will increase an average of 1.9 percent.
The move follows a similar announcement last month from UPS, FedEx’s chief rival. UPS said it was increasing ground shipping rates by 1.9 percent, also effective Jan. 5.
Other Fed-Ex rate changes effective Jan. 5 include:
* A delivery surcharge of $1 per package for ground shipments sent to commercial locations in select ZIP codes.
* An increase in the FedEx Express and FedEx Ground residential delivery surcharge to $1.75 from $1.40 per package. The current surcharge of $1.75 per package to select ZIP codes remains unchanged.
* An increase in the surcharge for residential delivery of FedEx Home Delivery shipments will increase to $1.40 from $1.15 a package.
In general, the surcharge for select ZIP codes includes sparsely populated areas or those that generate little traffic.
Jesse W. Bunn, a FedEx spokesman, said the company last raised rates in January when it boosted the cost of air service 3.5 percent and ground service 3.9 percent.
