USPS 8% Surcharge Could Hit Small Businesses and Shoppers Alike


It’s about to cost more to ship packages through the United States Postal Service. The USPS said Wednesday that it will implement a temporary 8% surcharge beginning in April “to better align its costs of transportation with the market.” Like everyone, the post office is facing higher fuel costs driven by ongoing turmoil in the Middle East.

The proposed increase will affect Priority Mail Express, Priority Mail, USPS Ground Advantage and Parcel Select, but not first-class stamps and other products and services.

If the Postal Regulatory Commission approves the measure, the price change will begin on April 26 at midnight Central Time and expire on Jan. 17, 2027, at midnight Central Time. At that time, the USPS will assess if the surcharge will continue.

Last week, Postmaster General David Steiner told Congress that the USPS will run out of money by next February. He requested that Congress lift regulatory restrictions so that the postal service can raise prices on products and services. 

The Postal Service has been financially underwater for nearly two decades. The Government Accountability Office added the agency to its High Risk List in 2009. Since 2007, it has incurred over $100 billion in financial losses. 

Much of the reason for these losses is the company’s mandate to deliver to over 170 million addresses during a six-day work week. According to The Wall Street Journal, which originally broke this story, that mandate has led to “71% of delivery routes being financially underwater.” That math roughly translates to three in five post offices being unable to cover their operating costs. 

Shipping competitors, such as FedEx and United Parcel Service, have had fuel surcharges in place for years. Due to the ongoing oil crisis and rise in gas prices, they have increased these fees in recent weeks.





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