UPS Freight to Increase Shipping Charges

UPS Freight announced that it will increase its noncontractual rates an average of 5.4% on less-than-truckload (LTL) shipments in the U.S. and Canada. This will impact the costs of small and medium-size business, which are less likely to ship by the full truckload than large companies are.UPS is the country's fourth-largest LTL carrier. The increase, slated to go into effect February 4, follows closely on the heels of FedEx Corp.'s December announcement of a 5.48 general rate increase that will go into effect on January 14. However, there is some question about whether the shipping companies can hold the line on these prices. Freight buyers have reported that carriers have been flexible on rates and surcharges due to declining demand and increased competition, especially in the LTL market. So be prepared to hear a higher initial quote but then to be able to negotiate.Atlanta Business Chronicle, Wall Street Journal, CNNMoney.com, Purchasing.com