USPS & UPS Rates On The Rise

UPS Mail Innovations is raising prices across its network in reaction to cost hikes from the U.S. Postal Service. As detailed in a recent customer letter, account-specific rate increases—some reportedly as high as 40%—are now in effect. On May 11, UPS will also impose a $1.75 per-package surcharge for extended area deliveries and begin enforcing a 1.5% fee on late invoices. These adjustments follow last year’s USPS pricing overhaul, which has disrupted traditional last-mile handoffs for parcel providers.

To stabilize service, UPS Mail Innovations is replacing USPS in some lanes with third-party vendors, offering an “enhanced mail solution” that promises better speed and coverage. The division is also launching a local same-day delivery option in select metro areas, though details remain vague. The upheaval comes amid a broader strategic shift—highlighted by UPS’ Ground Saver cutting ties with USPS this year. As the logistics landscape shifts, TLC is helping clients steer clear of surcharge traps and keep costs predictable with agile, multi-carrier routing. Reach out now to optimize your parcel flow under the new USPS rules.

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