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FedEx Announces Rate Increases for 2017

Fedex 2017 Rate IncreasesFedEx Rate Increase Rates Between 3.9% and 4.9% in January 2017

Directly on the heels of UPS’ announced 2017 shipping rate increases , FedEx has announced a series of rate increases that will take effect on January 2, 2017.

Shippers will see an average increase of 3.9% in rates for FedEx U.S. domestic, U.S. export and U.S. import services, while rates for FedEx ground and home delivery services will increase an average of 4.9%.

Surcharges will increase on several services such as the following:

  • Address corrections will increase from $13.00 to $14.00 on express packages, with the maximum charge FedEx Express Multiweight® pricing rising from $91.00 to $98.00 per shipment.
  • The dimensional weight factor for FedEx Express and FedEx Ground packages within the U.S. will change from 166 to 139. This new dim weight factor will also apply to FedEx Express shipments between the U.S. and Puerto Rico.
  • Oversize charges for U.S. express package services and U.S. and international ground services will increase from $67.50 per package to $72.50.
  • The extreme length surcharge will increase significantly in 2017, rising from $85 to $150 and will apply to shipments with dimensions of 12 feet or greater rather than the previous dimension of 15 feet.

Shippers will also see increases for numerous other services such as additional handling, delivery reattempts, dangerous goods deliveries, residential deliveries and rerouting of shipments.

FedEx Fuel Surcharge Changes

Effective February 6, 2017, the fuel surcharge percentage for FedEx Express and FedEx Ground shipment will be adjusted weekly, based on a weekly fuel price from two weeks prior to the week in which it is assessed. Currently, the fuel surcharge is based on a fuel price from two months prior to the month in which it is assessed.¹

For complete details, visit the FedEx Shipping Rates page on the company website. The information provided on the FedEx web page takes precedence over any information provided in this post.

Shippers can leverage technology to combat the continued increase of surcharges for services such as address corrections and increases in dimensional freight rates. Multi-carrier shipping software, address correction software and dimensioning systems can be very effective in controlling shipping costs.

If you’re using ADSI shipping software and have questions about the new rate structure and how to prepare in advance of the effective dates, please contact us today.



¹ FedEx Shipping Rates.