FedEx Announces 2016 Rate Increases

09/17/2015 — Leah Palnik

This week, FedEx announced its general rate increases (GRI) for 2016. Effective January 4, 2016, FedEx Express will increase shipping rates by an average of 4.9% for U.S. domestic, U.S. export and U.S. import services. FedEx Ground and FedEx Home Delivery will increase shipping rates by an average of 4.9%. FedEx SmartPost® rates will also increase and FedEx One Rate® pricing will change.

Shipping fees and surcharges will also be changing. Here are a few examples of surcharge changes that will apply in 2016:

A couple of changes are coming ahead of the New Year and will be in effect starting on November 2, 2015. Fuel surcharge tables will be updated for FedEx Express and FedEx Ground, with full details becoming available on by September 23, 2015. Also, the FedEx Ground Charge for Unauthorized Packages will increase from $57.50 per package to $110 per package. This charge applies to: 

  • Any package measuring more than 108 inches in length
  • Any package measuring more than 165 inches in length and girth combined
  • Any package weighing more than 150 lbs.

If you ship small packages these rate increases will likely affect your business. When FedEx and UPS provide the full details of their GRIs, you can count on PartnerShip to provide you with a breakdown of what these new rates will mean to you and your business in 2016. 

In the meantime, it's important to start evaluating how you can combat these rises in shipping costs. Through a PartnerShip-managed shipping program, you receive significant discounts on select FedEx services - resulting in savings that can offset these rate increases. If you're not sure if you qualify for one of our small package shipping programs contact us and we'll find the solution that's right for you. 

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