National Carriers Announce Rate Increases for 2012

UPS to raise ground and air rates 4.9%
FedEx to raise ground rates 4.9%

In 2011, surface transportation rates rose at their fastest clip in five years.  Average LTL and truckload rates are both up more than 10% this year.

This inflationary environment looks likely to continue into 2012.  National parcel carriers are announcing general rate increases that take effect in January.

UPS announced that it will raise its ground and air rates by 4.9%.  The ground shipment net increase is based on a 5.9% boost in the base rate, minus 1% for fuel surcharges.  The air rate is based on a 6.9% increase in the base rate minus a 2% reduction in the fuel surcharge.

FedEx ground and air rates will increase an average of 5.9%.  The increase will be partially offset by adjusting the fuel price at which the fuel surcharge begins, reducing the fuel surcharge by a percentage point.