UPS Boosting Air Fuel Surcharge; Ground Rates Unaffected
PS Inc. said Friday it would boost its fuel surcharge for air freight deliveries in the face of rising fuel costs, though it will not raise ground rates.
The new cap on air fuel surcharges will be 12.5%, from a 9.5% issued in January, UPS said in a statement. It will be based on an index based on the average price for kerosene-grade jet fuel.
Jet fuel, like diesel and heating oil, is a distillate fuel.
“We have done a good job of leveraging our integrated network to obtain fuel savings,” said Kurt Kuehn, UPS’ senior vice president of worldwide sales and marketing.
UPS is ranked No. 1 on the Transport Topics 100 listing of U.S. and Canadian for-hire carriers.