UPS to Raise Shipping Rates 5.9% Starting Dec. 21, Matching Prior Three Years

UPS will raise average daily rates for ground, air and international services by 5.9% effective Dec. 21, matching its annual increases of the past three years, the carrier said on its website. Actual cost impact will vary by package characteristics and contract terms. The increase lands at the tail end of the holiday shipping rush, when shippers face record-high delivery prices driven by fuel surcharges and peak season fees. Rival FedEx announced a 5.9% hike last month, effective Jan. 4, 2027, though UPS has not disclosed sub-rate details needed for a direct comparison. "Don't plan around 5.9%," said Paul Yaussy of logistics platform Loop, calling it "an average on base rates" that won't reflect actual cost. UPS will also revise ZIP codes subject to area surcharges and zone assignments, and raise the minimum billable weight for packages requiring additional handling to 50 pounds from 40. Small business rates will rise 4.5%, with a 5% domestic and international fuel surcharge applied Dec. 21.