Attention Shippers… In case you missed it, your UPS rates from China, Hong Kong and Macau are going up.
That’s right, UPS implemented a new “Surge” fee this week. At some level this makes sense.
UPS is always going to adjust prices to keep up with their cost increases. In this case, the increase in UPS’ cost could be associated with lack of space on an aircraft which is forcing them to procure more space on another plane or by leasing additional aircraft. Unlike Global Freight Forwarding, UPS Worldwide Express Service has a guaranteed time in transit. If their plane is full, they must move the freight to another plane or risk paying a guaranteed service refund to a shipper.
Simply put, when their cost could go up, your cost will go up. The house always wins! Or does it? Work with ICC Logistics and we will help stack the deck in your favor to mitigate surge pricing and accessorial charges.
See details more details from Max Garland at Supply Chain Dive
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