FedEx Corporation And United Parcel Service, Inc. To Increase Fuel Surcharge

Discussion in 'The Latest UPS Headlines' started by cheryl, Oct 7, 2015.

  1. cheryl

    cheryl I started this. Staff Member

    FedEx Corporation And United Parcel Service, Inc. To Increase Fuel Surcharge - Bidness

    A Wall Street Journal report states that FedEx Corporation is expected to increase the fuel surcharge. This is worrisome for retailers and other companies, since the parcel delivery cost would increase in the upcoming holiday season. This is the second time this year that FedEx plans to increase its fuel surcharge amid the crude oil price decline.

    A news release mentions that fuel surcharge change will be effective by November 2. The industry’s analysts said that the cost to ship 100 shoeboxes from New York to Atlanta would increase from $67 to $170.

    FedEx announced the last surge in the fuel surcharge in February, after which its rival United Parcel Service, Inc. followed suit. It is expected that if UPS boosts its prices, the cost to ship the same units from New York to Atlanta would rise to $200.