Parcel shipping costs approach record high as extra charges stack up

CDL & Trucking News · · Source: FreightWaves · By Eric Kulisch · 6 min read at the source

FedEx and UPS for years have hiked the percentage applied as a surcharge to cover fuel costs. The fuel index is so high now that surcharges won’t go down much even if the price of fuel falls, according to the TD Cowen/AFS Freight Index. (Photo: Jim Allen/FreightWaves)
FedEx and UPS for years have hiked the percentage applied as a surcharge to cover fuel costs. The fuel index is so high now that surcharges won’t go down much even if the price of fuel falls, according to the TD Cowen/AFS Freight Index. (Photo: Jim Allen/FreightWaves)

FedEx and UPS have turned surcharges into a profit center rather than a pass-through mechanism for unforeseen costs.

Reported by Eric Kulisch for FreightWaves (Parcel Freight), originally published October 14, 2026.

Read the full article on FreightWaves

Topics: Parcel Freight, PostalMag, accessorial charges, FedEx, Parcel rates, surcharge, UPS

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