UPS & FedEx 2021 Summary of the General Rate Increase

UPS & FedEx 2021 Summary of the General Rate Increase
FedEx Annual Rate Increase is effective January 4th, 2021 impacting the following services.
- FedEx Ground & FedEx Home delivery shipment rates will increase an average of 4.9%.
- FedEx US Export and Import delivery list rates will increase an average of 4.9%.
- FedEx US Express overnight delivery rates will increase by an average rate of 4.9%.
- FedEx Smart Post, Ground Heavyweight, and International Premium service will also increase.
- FedEx Freight will increase between 4.9% to 5.9% for customers.
- FedEx Ground Minimum will increase from $8.23 to $8.76, an additional $.053 per shipment, which is about a 6.5% rate increase.
- FedEx finally has followed UPS and initiated a 6% late fee effective on January 21, 2021. The fee is for outstanding invoices not paid on time and based on the agreed upon payment terms.
- FedEx added more zip codes to the current Delivery Area Surcharges U.S. ZIP codes. As a result, customers will pay additional cost for services.
UPS Annual Increase Rate is effective December 27, 2020 impacting the following services.
- UPS Ground Service shipment rates will increase an average amount of 4.9%.
- UPS Domestic Air Express overnight delivery rates will increase an average of 4.9%.
- UPS US Export and Import delivery rates will increase an average of 4.9%.
- UPS Surepost will be impacted by both Peak/Covid 19 surcharges and the General Rate Increase.
- UPS Freight will increase between 4.9% and 5.9% for customers.
- UPS Ground Minimum package rates will increase from $8.23 to $8.76 or an additional $0.53 per shipment, which is about a 6.5% rate increase.
- Effective January 10, 2021, an Additional Handling charge will be applied to any package with its length plus girth combined exceeding 105 inches
- Effective April 11, 2021, Additional Handling and Large Package Surcharge rates for non-Hundredweight Service packages will differ by zone, and effective July 11, 2021, Additional Handling and Large Surcharge rates for Hundredweight Service packages will differ by zone.
FedEx and UPS both halted the Money Back Guarantee earlier this summer due to the Covid 19. As a result, shippers are losing out on a minimum of 8% to 10% of the annual revenues spent each year.
FedEx and UPS have added a Covid and then a Peak surcharge to everyone’s rates. Now we are faced with a 25% increase in Fedex and UPS rates. Customers have been patient and extremely understanding. Now It is time for shippers to act appropriately and re-negotiate a new Pricing Agreement that is fair, equitable, and customer oriented.

2020 FedEx Accessorials Fees, Dim, Fuel, & Additional Surcharges
FedEx Accessorial Fees
2020 vs. 2021
Percentage Increase
Additional Handling Surcharges
US Express, Ground & International Ground (Dimension)
6.67%
International Express Package Services (Dimension)
6.67%
US Express, Ground & International Ground (Weight)
$24.00 to $25.50
6.25%
International Express Package Services (Weight)
$24.00 to $25.50
6.25%
US Express US Ground International Ground (Packaging)
$13.00 to $14.00
7.69%
International Express Package Service (Packaging)
$13.00 to $14.00
7.69%
Address Correction US Express, International
$17.00 to $18.00
7.69%
Address Correction US & International Ground
$17.00 to $18.00
7.69%
COD fee Delivery US Express Package Service
$15.50 to $16.50
6.45%
COD fee Ground International Ground
$15.50 to $16.50
6.45%
COD fee Ground International Ground
$5.85 to $6.15
5.12%
Dangerous Good Dry Ice International Express
$5.85 to $6.15
5.12%
Dangerous Good (accessible) First Overnight
$105.00 to $115.00
9.52%
Dangerous Good (accessible) Priority Overnight
$105.00 to $115.00
9.52%
Dangerous Good US Express (inaccessible)
$51.50 to 54.50
5.82%
Declared Value Express Ground & International
$3.15 to $3.45
9.52%
Delivery Area Surcharge

2021 UPS Accessorials Fees, Dim, Fuel, & Additional Surcharges
UPS Accessorial Fees
2020 vs. 2021
Percentage Increase
Additional Handling Surcharges
Dimensions (Length, Width, Length, Girth)
$15.00 to $16.00
6.67%
Weight
$24.00 to $25.50
6.25%
Packaging
$14.25 to $15.25
7.01%
Address Correction
$17.00 to $18.00
7.69%
Collect on Delivery (COD)
$15.50 to $16.50
6.45%
Dry Ice
$5.85 to $6.15
5.12%
Dangerous Goods Air Accessible
$105.00 to $115.00
9.52%
Declared Value from $100.01 to $300.00
$3.15 to $3.45
9.52%
Declared Value + $300.00 or portion of $100.00
$1.05 to $1.15
9.52%
Delivery Area Surcharge
DAS – Air Commercial
$3.10 to $3.25
4.83%
DAS – Air Commercial Extended
$3.60 to $3.85
6.94%
DAS – Ground Commercial
$2.95 to $3.10
5.08%
DAS – Ground Commercial Extended
$3.45 to $3.70
7.24%
DAS – Ground Residential
$4.00 to $4.30
7.50%
DAS – Ground Residential Extended
$5.40 to $5.90
9.25%
DAS – Air Residential
$4.40 to $4.70
6.81%
DAS – Air Residential Extended
$5.40 to $5.90
9.25%
DAS – Hundredweight Air Commercial
$15.50 to $16.25
4.83%
DAS – Hundredweight – Air Commercial Extended
$18.00 to $19.25
6.94%
DAS – Hundredweight Ground Commercial
$14.75 to $15.50
5.08%
DAS – Hundredweight Ground Commercial Extended
$17.25 to $18.50
7.24%
DAS – Hundredweight Air Residential
$22.00 to $23.50
6.81%
DAS – Hundredweight Air Residential Extended
$27.00 to $29.50
9.25%
DAS – Hundredweight Ground Residential
$20.00 to $21.50
7.50%
DAS – Hundredweight Ground Residential Extended
$27.00 to $29.50
9.25%
Delivery Confirmation Signature Required
$5.25 to $5.55
5.71%
Delivery Confirmation Adult Signature Required
$6.35 to $6.70
5.51%
Large Package Surcharge Commercial (Domestic)
$100.00 to $105.00
5.00%
Large Package Surcharge Residential (Domestic)
$120.00 to $130.00
8.33%
Missing or invalid Account Number
$17.00 to $18.00
5.88%
Residential Surcharge Ground
$4.10 to $4.45
8.53%
Residential Surcharge Air
$4.70 to $5.00
6.38%
Residential Surcharge Hundredweight
$41.85 to $43.20
3.22%
Third Party Billing Service
$4.50 to $5.00
11.0%
Ground weekly pickup US/International 0 – $75.00
$15.50 to $16.50
6.45%
Ground weekly pickup US/International $75.00 – plus
$31.00 to $33.00
6.45%

Actual calculations of the Fedex rate increases for 2021






Click here to download the 2021 Fedex Rate Increase Graphs

FedEx & UPS 2001 to 2020 Increase History
UPS | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | 2006 | 2005 | 2004 | 2003 | 2002 | 2001 |
Increase Date | 12.27.2020 | 12.29.2019 | 12.26.2018 | 12.24.2017 | 12.26.2016 | 12.28.2015 | 12.29.2014 | 12.30.2014 | 12.31.2013 | 01.02.2012 | 01.03.2011 | 01.04.2010 | 01.05.2009 | 12.31.2007 | 01.01.2007 | 01.02.2006 | 01.03.2005 | 01.05.2004 | 01.06.2003 | 01.07.2002 | 02.05.2001 |
Ground | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 5.9%* | 5.9%* | 5.9%* | 4.9% | 5.9% | 5.9% | 4.9% | 3.9% | 2.9% | 1.9% | 3.9% | 3.5% | 3.1% |
Domestic Air | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 5.20 % | 4.90 % | 4.90 % | 6.5%* | 6.9%* | 6.9%* | 6.9%* | 6.9%* | 6.9%* | 6.9%* | 5.5%* | 2.9% | 2.9% | 3.2% | 4.0% | 3.7% |
Export | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 5.20 % | 4.90 % | 4.90 % | 5.9%* | 6.9%* | 6.9%* | 6.9%* | 6.9%* | 6.9%* | 6.9%* | 5.5%* | 2.9% | 2.9% | 2.9% | 3.9% | 2.9% |
Ground CWT: | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 4.90 % | 6.5%* | 5.9%* | 5.9%* | 4.9% | 4.9% | 5.9% | 5.9% | 5.9% | 5.9% | 5.9% | 5.9% | 5.9% | 5.4% |
Residential Ground | $4.45 | $4.10 | $3.95 | $3.60 | $3.40 | $3.25 | $3.10 | $2.90 | $2.80 | $2.55 | $2.45 | $2.20 | $2.05 | $1.95 | $1.85 | $1.75 | $1.50 | $1.40 | $1.15 | $1.10 | $1.05 |
Residential Air | $5.00 | $4.70 | $4.45 | $4.15 | $3.85 | $3.65 | $3.50 | $3.35 | $3.20 | $3.00 | $2.75 | $2.50 | $2.40 | $2.30 | $2.20 | $2.10 | $1.75 | $1.40 | $1.15 | $1.10 | $1.05 day |
DAS Comm Air | $3.10 | $2.95 | $2.80 | $2.75 | $2.60 | $2.45 | $2.35 | $2.25 | $2.15 | $2.00 | $1.85 | $1.70 | $1.60 | $1.50 | $1.40 | $1.30 | $1.25 | $1.25 | n/a | n/a | n/a |
DAS Residential | $4.30 | $4.00 | $3.80 | $2.75 | $2.60 | $2.45 | $3.55 | $3.40 | $2.75 | $2.75 | $2.75 | $2.50 | $2.40 | $2.30 | $2.20 | $2.10 | $2.00 | $1.75 | $1.50 | $1.50 | $1.50 |
DAS Com Extend | $3.70 | $3.45 | $2.80 | $2.55 | $2.45 | $2.30 | $2.20 | $2.07 | $2.00 | $2.00 | $1.85 | $1.70 | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a |
DAS Resi Extend | $5.90 | $5.40 | $4.85 | $4.40 | $4.20 | $4.00 | $3.80 | $3.65 | $3.50 | $3.25 | $3.00 | $2.75 | $2.65 | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a |
Ground Minimum | $8.76 | $8.23 | $7.85 | $7.57 | $7.32 | $6.94 | $6.61 | $6.24 | $5.84 | $5.49 | $5.17 | $4.84 | $4.57 | $4.20 | $4.00 | $3.80 | $3.62 | $3.45 | $3.39 | $3.23 | $3.11 |
Ground Mini %+ | 6.5% | 4.8% | 3.7% | 4.6% | 5.5% | 5.00 % | 5.6% | 6.80 % | 6.4% | 6.2% | 6.,8% | 5.9% | 8.8% | 5.0% | 5.3% | 5.0% | 4.9% | 4.9% | 5.0% | 5.0% | 3.9% |
Dim Domestic | 139 | 139 | 139 | 139 | 139-166 | 166 Cubic | 166 Cubic | 166 Cubic | 166 Cubic | 166 Cubic | 166 Cubic | 194 Cubic | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a |
Dim International | 139 | 139 | 139 | 139 | 139 | 139 Cubic | 139 Cubic | 139 Cubic | 139 Cubic | 139 Cubic | 139 Cubic | 166 Cubic | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a |
FedEx | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | 2010 | 2010 | 2009 | 2008 | 2007 | 2006 | 2005 | 2004 | 2003 | 2002 | 2001 |
Increase Date | 01.04.2021 | 01.06.2020 | 01.07.2019 | 01.02.2018 | 02.01.2017 | 01.04.2015 | 01.05.15 | 01.06.2014 | 01.07.13 | 01.02.2012 | 01.03.2011 | 01.04.2010 | 01.05.2009 | 01.07.2008 | 01.01.2007 | 01.02.2006 | 01.03.2005 | 01.05.2004 | 01.06.2003 | 01.07.2002 | 02.01.2001 |
Ground | 4.90% | 4.90% | 4.90% | 4.90% | 4.90% | 4.90% | 4.90% | 4.90% | 5.9%* | 5.9%* | 5.9%* | 4.9% | 5.9% | 5.9% | 4.9% | n/a | 2.9% | 1.9% | 3.9% | 3.5% | 3.1% |
Domestic Air | 4.90% | 4.90% | 4.90% | 4.90% | 3.90% | 4.90% | 4.90% | 3.90% | 5.9%* | 5.9%* | 5.9%* | 5.9%* | 6.9%* | 6.9%* | 5.5%* | 5.5%* | 4.6%* | 2.5% | 3.5% | 3.5% | 4.9% |
Export | 4.90% | 4.90% | 4.90% | 4.90% | 3.90% | 4.90% | 4.90% | 3.90% | 5.9%* | 5.9%* | 5.9%* | 5.9%* | 6.9%* | 6.9%* | 5.5%* | 5.5%* | 4.6%* | 2.5% | 3.5% | 3.5% | 2.9% |
Ground CWT | 4.90% | 4.90% | 4.90% | 4.90% | 3.90% | 4.90% | 4.90% | 4.90% | 5.9%* | 5.9%* | 5.9%* | 4.9% | 4.9% | 5.9% | 5.9% | 5.9% | 5.9% | 5.9% | 5.9% | 5.9% | n/a |
Residential Ground | $4.95 | $4.65 | $4.40 | $4.15 | $3.85 | $3.65 | $3.55 | $3.40 | $3.20 | $3.00 | $2.75 | $2.50 | $2.40 | $2.30 | $2.20 | $2.10 | $2.00 | $1.75 | $1.40 | $1.35 | $1.30 |
Residential @Home | $4.30 | $4.00 | $3.80 | $3.60 | $3.45 | $3.25 | $3.10 | $2.90 | $2.80 | $2.55 | $2.45 | $2.20 | $2.05 | $1.95 | $1.85 | $1.75 | $1.50 | $1.40 | $1.15 | $1.10 | $1.05 |
Residential Air | $4.95 | $4.65 | $4.40 | $4.15 | $3.90 | $3.65 | $3.50 | $3.35 | $3.20 | $3.00 | $2.75 | $2.50 | $2.40 | $2.30 | $2.20 | $2.10 | $2.00 | $1.75 | $1.40 | $1.35 | n/a |
DAS Comm Air | $3.25 | $3.10 | $2.85 | $2.70 | $2.60 | $2.45 | $2.35 | $2.25 | $2.15 | $2.00 | $1.85 | $1.70 | $1.60 | $1.50 | $1.40 | $1.30 | $1.25 | $1.25 | $1.75 c+r | n/a | $1.50 |
DAS Residential | $5.90 | $5.40 | $4.65 | $4.40 | $4.20 | $4.00 | $3.80 | $3.65 | $3.50 | $3.25 | $3.00 | $2.50 | $2.40 | $2.30 | $2.20 | $2.10 | $2.00 | $1.75 | $1.75 c+r | $1.50 | $1.50 |
DAS Ground | $3.10 | $2.95 | $2.85 | $2.70 | $2.60 | $2.45 | $2.35 | $2.25 | $2.15 | $2.00 | $1.85 | $1.70 | $1.60 | $1.50 | $1.40 | $2.10 | $2.00 | $1.75 | $1.50 | $1.50 c+r | $1.50 c+r |
DAS Com Extend | $3.85 | $3.60 | $2.85 | $2.70 | $2.60 | $2.30 | $2.20 | $2.07 | $2.00 | $2.00 | $1.85 | $1.70 | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a |
DAS Resi Extend | $5.90 | $5.40 | $4.65 | $4.40 | $4.20 | $4.00 | $3.80 | $3.65 | $3.50 | $3.25 | $3.00 | $2.75 | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a |
Ground Minimum | $8.76 | $8.23 | $7.85 | $7.58 | $7.25 | $6.94 | $6.61 | $6.24 | $5.84 | $5.49 | $5.17 | $4.84 | $4.57 | $4.20 | $4.00 | $3.80 | $3.62 | $3.45 | $3.39 | $3.23 | $3.11 |
Ground Mini %+ | 6.5% | 5.0% | 3.6% | 4.6% | 4.5% | 5.00 % | 5.6% | 6.80 % | 6.4% | 6.2% | 6.8% | 5.9% | 8.8% | 5.0% | 5.3% | 5.0% | 4.9% | 4.9% | 5.0% | 5.0% | 3.9% |
Dim Domestic | 139 | 139 | 139 | 139 | 139-166 | 166 Cubic | 166 Cubic | 166 Cubic | 166 Cubic | 166 Cubic | 166 Cubic | 194 Cubic | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a |
Dim International | 139 | 139 | 139 | 139 | 139 | 139 Cubic | 139 Cubic | 139 Cubic | 139 Cubic | 139 Cubic | 139 Cubic | 166 Cubic | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a | n/a |
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