UPS Announces 2016 Rate Increase

10/23/2015

2016 UPS Rate Change Information

From UPS.com – Effective December 28, 2015*, the published rates for our services will increase. This supports ongoing expansion and capabilities enhancements, as we strive to maintain the high service levels you expect from UPS.

As you look toward the year to come, here are some new enhancements that can help you and your customers:

  • Reach more customers earlier — We are improving our delivery coverage again, and are enhancing UPS Next Day Air® Early** service by expanding to nearly 4,500 additional ZIP Codes. We offer overnight delivery by 8:00 a.m. to major cities in the 48 contiguous states and by 8:30 a.m., 9:00 a.m. or 9:30 a.m. to most other cities in the U.S. Additional extended delivery locations will be guaranteed up to 2:00 p.m.
  • International expansions to serve you better — We have recently expanded UPS Worldwide Express® service to more than 41,000 new postal codes around the world, creating earlier guaranteed delivery options for customers in addition to the end-of-day guarantee offered by UPS Worldwide Saver® service. We already deliver more packages internationally and offer more guaranteed package delivery options than any other carrier.
  • Convenience and control for your customers — We have significantly expanded our UPS Access Point™ network. By the end of 2015, we expect to have more than 8,000 UPS Access Point locations in select U.S. cities and 22,000 globally. These local businesses – like The UPS Store® locations and local grocery stores – offer flexible pickup for consumers who are not home to receive their eligible deliveries and serve as convenient drop-off points for eligible prepaid and return packages.
  • An enhanced supply chain portfolio — We acquired Coyote Logistics, adding large-scale truckload brokerage services to our portfolio, continuing to expand our services from multi-modal freight shipments to small-package delivery.

Package

The rates for UPS® Ground services and accessorials will increase an average net 4.9%.

The rates for UPS Air and International services and accessorials will increase an average net 5.2%.

View 2015 and 2016 Package Surcharge and Accessorial Changes

Effective December 28, 2015, the Standard List rates will be combined with the Daily rates and will be published under the name Daily rates.  Customers with Standard List rates should reference the combined Daily rates.

The 2016 UPS Rate and Service Guide will be available to download on December 28, 2015.

Air Freight

UPS Air Freight rates and accessorials within and between the U.S., Canada, and Puerto Rico will increase an average net 5.2%.

UPS Freight®

UPS Freight rates for shipments rated on the current UPS Freight 560 (US48), 525 (to and from Canada) and 570/571 (to and from Mexico) Tariffs will increase an average net 4.9%. These rates will be available at ltl.upsfreight.com beginning October 26, 2015, the effective date of these rates.

2016 Rate Change Information

The following changes will be made to package surcharges and accessorials, effective December 28, 2015. See the applicable 2016 UPS Rate and Service Guide, available December 28, 2015, for further details.

Additional Handling Surcharge

The Additional Handling charge will increase $1.50.

Address Corrections

The Address Correction surcharge will increase $0.50. The maximum Address Correction charge applied to domestic UPS Hundredweight Service® shipments will increase $3.50.

Missing / Invalid Account Number or Refusal Fee, and Chargeback for Consignee Billing Shipments, will increase $0.50.

Area Surcharges

For packages delivered to certain Zip Codes within the 48 contiguous states

    • The Delivery Area Surcharge applied to commercial and commercial extended addresses for UPS Air Services will increase $0.10. For UPS Air Services, the Delivery Area Surcharge applied to residential addresses will increase $0.15, and increase $0.20 for residential extended addresses.
    • The Delivery Area Surcharge applied to commercial and commercial extended addresses for U.S. UPS® Ground Services will increase $0.10. For U.S. UPS Ground Services, the Delivery Area Surcharge applied to residential addresses will increase $0.15, and increase $0.20 for residential extended addresses.
  • The Delivery Area Surcharge for UPS Hundredweight Service will increase $0.50.

For packages delivered to certain Zip Codes within Alaska and Hawaii

  • The Remote Area Surcharge applied to Alaska will increase $2.50, and for Hawaii will increase $0.25.

For a complete listing of eligible U.S. postal codes, and to determine which charge may be applied, click here.

Customs Brokerage

The Disbursement fee minimum will increase $2.00.

Other Government Agency Clearance and Complex Entry fees will increase $0.75.

Entry Preparation charges will increase $2.25 for values of $200.01 to $1,250.00, $2.50 for values of $1,250.01 to $2,500.00, and $0.10 for each additional $1,000 of value over $2,500.00.

Delivery Confirmation

The charges for Delivery Confirmation Signature Required and Delivery Confirmation Adult Signature Required will increase $0.25.*

UPS Delivery Intercept®

The charge for UPS Delivery Intercept request will increase $0.40 for requests made electronically and $0.70 for requests made by telephone.

UPS Next Day Air® Early** Surcharge

For customers receiving Standard List rates prior to December 28, 2015, the UPS Next Day Air Early premium will increase $2.00.

Hazardous Materials and International Dangerous Goods

The Hazardous Materials charges for U.S. Ground Services will increase $1.50, and will increase $2.50 for U.S. UPS Air Services.

The International Dangerous Goods charges for UPS® Standard to/from Canada will increase $2.00 per shipment or $0.25 per package.

The International Dangerous Goods charges for UPS International Air Services will increase $3.75 per shipment or $0.45 per package.

The International Dangerous Goods charges for UPS Worldwide Express Freight® shipments will increase $3.75 per shipment or $0.02 per pound.

Large Package Surcharge

The Large Package Surcharge will increase $10.00.

UPS On-Call Pickup® – Area Surcharges

The Area Surcharge for a UPS On-Call Pickup request from certain Zip Codes within the 48 contiguous states will increase $0.15 for residential addresses, and $0.20 for extended residential addresses.

The Alaska Remote Area Surcharge for a UPS On-Call Pickup request will increase $2.50, and the Hawaii Remote Area Surcharge for a UPS On-Call Pickup request will increase $0.25.

Printer Fee

The weekly Printer Lease fee will increase $1.00.

Residential Surcharges

The Residential Surcharge for UPS Ground Services, UPS Air Services and On-Call Pickups will increase $0.15. The Residential Surcharge for a UPS Hundredweight Service shipments will increase $1.30, and the Residential Surcharge for UPS Worldwide Express Freight® shipments will increase $5.00.

Scheduled Pickup

The weekly charge assessed for Daily, Daily On-Route, and Day-Specific 4 Day Pickup service will increase $1.20 for customers with billing totals of $75.00 or more per week and $2.40 for customers with billing totals less than $75.00 per week.

The weekly charge assessed for Day-Specific 3 Day, Day-Specific 2 Day, and Day-Specific Pickup services will increase $1.20. The weekly charge assessed for UPS Smart Pickup® will increase $1.20.

UPS offers several flexible pickup options that offer customers the convenience of an automatically scheduled pickup when they need it, including UPS Smart Pickup for only $11.50 per week.

Customers can determine which pickup service best meets their needs and make their selection at ups.com/pickupoptions.

Third-Party Billing

Beginning January 4, 2016, UPS will institute a Third-Party Billing Service of 2.5% applicable to the total charges on all packages that are billed to third parties.

* Applies to Daily and Standard List Rates only.
** On November 23, 2015, UPS Next Day Air® Early AM® is becoming UPS Next Day Air® Early with extended delivery locations guaranteed up to 2:00 p.m. Visit ups.com/ctc for the most up-to-date time in transit details at the time of shipping.

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