Expectations for the 2022 peak shipping season are on track to break records again, but there is a greater sense of uncertainty as the economy evolves. The industry is no stranger to disruption, and last year's peak season felt the downstream effects of container congestion. The scenario is occurring again, albeit in earlier stages, and there is a fear that spending could taper as the months move forward. However, the battle is still the same for shippers; they must find affordable transportation, watch their costs, and know what to expect. In addition, now is the traditional start of the holiday peak planning, and as anticipated, FedEx has released its first update to peak holiday shipping surcharges.
In the interim, UPS has released a new update to its peak demand surcharges but has yet to release a full holiday surcharge breakdown. For now, the interim updates are as follows:
China Mainland, Hong Kong SAR, or Macau SAR to the U.S.
UPS Worldwide Express Plus®, UPS Worldwide Express®, UPS Worldwide Saver®, UPS Worldwide Expedited®
Shipments From Australia, New Zealand, Vietnam, Japan, Korea, Malaysia, Thailand, Indonesia, Singapore, Philippines, or Taiwan to the U.S
Unfortunately, any change to surcharges amounts to a greater risk of billing discrepancies, and the trick is to know what surcharges are active and when they apply. Here are the upcoming peak season surcharges for FedEx for the 2022 holiday season.
As demand fluctuates, peak season surcharges will help the company enable continued fulfillment throughout the holidays. Yes, there is an argument that the market is slowly stabilizing to pre-pandemic levels, but that could change very quickly. The surcharges for the 2022 peak season are also less drastic than those seen in 2020 and 2021, but they're still higher than an all-out, pre-pandemic assessment.
These charges also help offset the continued effects of inflation, and surcharges range from $1.50 per package up to unauthorized charges of $385.00 per package. Here is the full breakdown.
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