UPS Announces 2022 General Rate Increases

On Friday, October, 29^th UPS announced their 2022 General Rate Increases for the coming year.  In their announcement, UPS stated “during this past year we have all experienced change as our businesses and communities navigate through this challenging time. We remain committed to making a difference investing in the strength of our global network of employees to positively impact your business.  We continue to advance our technology to improve the customer experience and enhance our network so you can keep your commitments to your customers, reliably. To help you plan ahead, below is a summary of the changes to our rates for 2022.”

It’s always a good idea to speak about the positives before explaining then negatives.  UPS’ announcement follows the recent announcement by FedEx of their 2022 General Rate Increases.

Effective on December 26, 2021: 

The rates for UPS® Ground, UPS Air, and International will increase an average net5.9%.

UPS Air Freight rates within and between the U.S., Canada, and Puerto Rico will increase an average net5.2%.

Effective January 9, 2022:

Remote Area Surcharge will now apply to deliveries to certain ZIP Codes in the 48 contiguous states, as well as UPS On-Call Pickup requests in those ZIP Codes. The Remote Area Surcharge also applies to certain ZIP codes in Alaska and Hawaii, as it has in the past.

Obviously these General Rate Increases are averages so some increases will actual be less than the 5.9% and 5.2% increases UPS will implement, and some will be much higher.  Parcel Shippers should take a long hard look at these increases and analyze the impact they will have on their 2022 freight budgets which are expected to increase over “norms,” (whatever that means) just as shippers have experienced in 2021.

To help parcel shippers navigate this latest General Rate Increase, ICC Logistics will again make available free of charge, UPS List Rate Comparison Charts 2022 vs. 2021.

To obtain your copy, fill out the following form and add “Rate Comparison Charts” in the message field.