What You Need To Know About UPS 2025 SurePost Rates

Starting January 13, 2025, UPS will implement significant rate increases for its SurePost service, affecting businesses that rely on this economical shipping option. These adjustments include higher transportation charges and accessorial fees, going beyond the 5.9% general rate hike from earlier this year. The changes could pose challenges for shippers aiming to control costs effectively.

Here’s a breakdown off the increases:

• Packages (1-9 lbs): 9.9% increase
• Packages (10 lbs and above): 6.0% increase
• Parcels (Under 1lb): 9.9% increase 
• SurePost Delivery Area Surcharge (DAS): 61.8% increase, from $3.80 to $6.15
• SurePost Extended DAS: 69.4% increase, from $4.90 to $8.30

These hikes will significantly impact businesses managing high volumes of deliveries to DAS and Extended DAS locations, where surcharges can quickly accumulate. Proactive measures will be crucial in mitigating financial strain.

Why Are SurePost Rates Increasing?

SurePost is designed for affordable, non-urgent, business-to-consumer deliveries, utilizing UPS for the initial shipment and USPS for the final delivery. However, USPS has increased costs for partners using their delivery entry points, a move intended to drive volume toward their Ground Advantage service. This shift has prompted UPS to recalibrate its SurePost pricing.

• Evaluate Your Current Contracts: Review your shipping agreements to identify your dependence on SurePost. 
• Quantify the Impact: Assess your shipping volumes and calculate the costs for DAS and Extended DAS deliveries. 
• Diversify Your Strategies: Explore alternative carriers or UPS service levels that may offer better value. 
• Engage Professional Negotiators: Partnering with experts like LJM Group can help you navigate these changes with confidence and minimize the financial impact of these price hikes.  
  

Take Control of Your Shipping Strategy in 2025

The upcoming rate increases emphasize the need for a strategic approach to parcel shipping. LJM Group offers expertise in contract analysis, rate negotiation, and parcel invoice auditing to help businesses cut costs and boost efficiency.

Ready to navigate these changes with confidence? Contact us today to schedule a free consultation and analysis. Let’s work together to minimize the impact of these increases and uncover potential savings.