Rates for UPS' Ground, Air and International services will increase by an average of 6.9% effective Dec. 27, according to the company's website.
UPS also announced higher accessorial charges effective on the same date, including for residential deliveries, packages requiring additional handling and deliveries to remote areas.
"This helps to support ongoing expansion and capability enhancements as we strive to maintain the high service levels you expect from UPS," the company said of the rate hike on its website.
The impact of the changes on shippers will vary depending on their UPS agreement terms and shipment characteristics.
UPS rival FedEx announced a 6.9% average rate increase of its own in September. The two logistics giants typically mirror each other's rate and surcharge hikes — last January they both announced 5.9% rate increases.
The two companies are increasing rates despite both experiencing cooling growth in package volume in recent quarters, down from the highs seen in 2020 and 2021. FedEx EVP and Chief Customer Officer Brie Carere said in an earnings call the company believed the rate hike was appropriate due to inflationary pressures.
UPS announces its Q3 financial results on Tuesday.
