Economy · 8 d ago
US retailers face record holiday delivery prices as fuel surcharges climb
Express parcel prices, Q4 forecast
13.8 % above last year
Express parcel prices are forecast to jump 13.8 per cent from last year's fourth quarter, and ground deliveries 5.8 per cent, according to the TD Cowen/AFS Freight Index.
UPS surcharge
29.5%
FedEx surcharge
29%
At an average diesel price of US$6.28 a gallon, UPS's fuel surcharge is 29.5 per cent and FedEx's is 29 per cent.
Diesel is up 65 per cent since Feb 28, yet it explains just under 30 per cent of the surcharge cost, an analyst said. The rest comes from changes in how carriers calculate it.
