Guide to 2022 Shipping Carrier Annual Rate Increases

Each year the major shipping carriers increase rates across their many services. Often these new rates apply starting in January (which is the case for FedEx and USPS), please note UPS 2022 rates will begin December 26, 2021.

Please note, the majority of charges in the chart below are effective indefinitely. For the purposes this chart most charges are cited with an end date on December 31, 2022 even if the charges will continue on after that date.

Fuel surcharges are calculated as a percentage of the weekly base fuel rate.

Shipping News & Carrier Updates

FedEx

Effective January 17 & 24 2022

The following FedEx Express, FedEx Ground, FedEx Ground Economy and FedEx Freight surcharge changes will take place:

Effective January 17, 2022

  • FedEx Freight introduces a No Shipment Tendered surcharge for pickups performed when no shipment is tendered to the carrier.
  • 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.
  • Delivery and Returns Surcharge will be assessed on packages that are delivered or returned using FedEx Ground Economy services.

Effective January 24, 2022

  • 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.

Find more information here.

Effective January 3, 2022

  • Rate increases will apply to the following services: FedEx Express, FedEx Ground, FedEx Ground® Economy, and FedEx Freight. 
  • Changes to shipping surcharges and fees may apply to your shipment and affect your total shipping rate.
  • Changes to the Delivery Area Surcharge ZIP code lists for FedEx Express and FedEx Ground will also begin. 
  • International shipments will have an additional option for time-definite deliveries in one to three business days. 

Read more about these announcements here. 

Effective January 9, 2022

The average rate increase across all FedEx services: 5.9%

Highlights:

  • Average rates for ground services (including Ground Economy) will increase to 7.5% for small parcel 2-5 lbs, zones 2-8.

  • The minimum package charge will increase from $8.76 to $9.36 (1 lb, zone 2).

  • Large increases for Ground Economy (formerly SmartPost) services affecting residential delivery.

  • NEW: effective January 24, 2022 Additional Handling and Oversize packages will move to tiered pricing instead of flat-rate pricing.

  • NEW: Two peak surcharges take effect on January 17, 2022 until further notice.

    • $0.60 per package surcharge will apply to residential Ground and Express packages, with qualifying volume criteria.

    • $1.00 per package peak surcharge begins and will apply to all Ground Economy packages, with no volume criteria.

Read the full announcement.

UPS

Effective December 26, 2021

The average rate increase across all UPS services: 5.9%

Highlights

  • Zip codes included in Delivery Area Surcharge and Extended Delivery Area Surcharge have shifted. UPS now publishes a special guide to track these changes.

  • NEW: Remote Area Surcharge of $12.00 for ~2,700 zip codes (added in conjunction with the Delivery Area Surcharge and the Extended Delivery Area Surcharge).

  • Additional Handling and Oversize packages will increase and continue as tiered pricing (as updated in April of 2021).

  • SurePost rates were announced separately and a full breakdown according to zone can be found here.

Read the full announcement.

USPS

Effective April 3, 2022

The Postal Service is raising rates for mailing tubes and long packages. In an effort to phase out these odd-shaped boxes, USPS is raising rates so that it is largely unaffordable for many shippers.

This is part of the “nonstandard” fees added to regular postage costs for packages that are longer than 22 inches. The change is drastically affecting shippers with posters, fishing rods, gold clubs, and long parts and materials.

USPS is the go-to carrier choice for many smaller businesses because it is largely the cheaper option. For example, if a seller shopped around for the best price to ship a 6-foot item, USPS would cost $8.24, UPS Ground would cost $20.15, while FedEx Home would cost $39.38.

Read more about the implications of this rate change.

Effective April 3, 2022

The USPS dimension fee increases announced in November, 2021 are taking effect starting April 3, 2022. These are new fees added for larger items or if the dimensions of the package are incorrect or not disclosed.

  • Dimension Noncompliance: $1.50 added to packages that exceed 22” in length or 1 cubic foot.
  • Nonstandard Fees: between $4.00 – $15.00 added to packages that exceed 22” in or 2 cubic feet.

Effective January 9, 2022

The average rate increase across USPS services: between 3.1% – 7.5%

Highlights:

  • 1-5 lbs packages will increase an average of 5.5%.

  • 11-25 lbs packages will decrease 16.1% on average.

  • 26-70 lbs packages will increase an average of 11.1%.

  • NEW: two new retail mail products focused on local communities.

    • Plus One. This is intended for businesses to reach local customers utilizing mail.

    • Connect Local Mail. This allows documents to be sent locally for same- or next-day delivery.

  • NEW: additional fees to packages exceeding certain dimension thresholds.

    • Dimension Noncompliance: $1.50 added to packages that exceed 22” in length or 1 cubic foot.

    • Nonstandard Fees: between $4.00 – $15.00 added to packages that exceed 22” in or 2 cubic feet.

Below are the planned retail price increases for Priority Mail Flat Rate retail products:

Read the full announcement.