As a reminder, back in May, FedEx announced that they would be updating their Fuel Surcharge Tables to better reflect current market conditions. FedEx, as well as all other freight carriers adjust their Fuel Surcharge percentages on a weekly basis as the price of fuel fluctuates. This amendment to FedEx’ Fuel Surcharge Tables will officially go into effect on June, 21, 2021.
The updates will result in a change in the Price per Gallon bands used to calculate both US Gulf Coast Spot Prices for Jet Fuel, (applied to FedEx Express Service rates), as well as the US Highway Average Price of Low Sulphur Diesel Fuel, (applied to FedEx Ground services.) It is expected that these rate table changes will result in an overall Fuel Surcharge increase of approximately 1%. This is on top of already increased costs of fuel, as well as many new and ever increasing surcharges and accessorial fees. While carriers may believe these increases are not staggering increases, they are increases non-the-less. Let’s also keep in mind that recent reports indicate the rate of inflation is also increasing and that too will result in higher prices across the board for all consumers. It’s like the old saying of being “Nickeled and Dimed to Death.” However, as we have seen over the past year and a half, we are not talking about Nickels and Dimes, but rather dollars and serious ones at that.
The Fuel Surcharge Tables FedEx is published will become effective on 6-21-2021.
Looking for ways to control rising parcel shipping costs? Check out our carrier rate negotiations services.
to receive our FREE white papers: