FedEx has updated its peak surcharges. Again. This time it’s for international services.
If you’re looking for the surcharge details, click here. Or read below for more information on how you can determine the impact surcharges have on your business.
From FedEx (view on FedEx's website here):
Beginning March 7, 2022, the Peak Surcharge amount for FedEx Express parcel and freight shipments and TNT shipments will increase for some shipments moving between APAC and countries in APAC, Europe, LAC and MEISA.
Beginning March 7, 2022, the Peak Surcharge amount for FedEx Express parcel and freight shipments and TNT shipments will increase for some shipments moving between Europe and countries in all regions.
Beginning March 7, 2022, the Peak Surcharge amount for FedEx Express parcel and freight shipments and TNT shipments will increase for some shipments moving between India and countries in APAC, Europe, and MEISA.
Why is FedEx updating its peak surcharges again?
According to a recent update shared by FedEx, they have chosen to change their peak surcharges “Due to continued disruptions in the global supply chain, air cargo capacity remains limited. We [FedEx] are incurring incremental costs as we continue to adjust our international networks and operate in this constrained environment.”
In the past two years, FedEx has increased its surcharges and fees on numerous occasions. Each time, they point to the costs they’ve incurred as the reason why raising surcharges and fees is a necessity. In that same period of time, FedEx has consistently posted record profits while on-time service performance has declined.
Are these FedEx surcharges and fees necessary or is it something else?
All of this has led to some confusion and frustration amongst FedEx customers. Are surcharges and fees being increased out of necessity or is it something else? It’s odd to claim that growing operational expenses and global supply chain challenges have forced them into increasing surcharges and fees. When you post record profits and then turn around and tell your customers that you’re incurring incremental cost increases, you’re going to raise some eyebrows.
What can I do about increased surcharges and fees?
Despite the actions taken by FedEx, you can control and reduce your shipping costs for free with Lojistic. Want to track the impact surcharges and fees are having on your business? Lojistic does that automatically with the Surcharge Summary perspective.
If you have any questions about how this surcharge update will impact your business, contact us by phone at 800.783.5753, by email at email@example.com or chat with us from anywhere on the site.