Resource Center/Article11/12/2025

UPS Moves Early: 2026 GRI Takes Effect Before Christmas – and Before FedEx

UPS’s 2026 GRI takes effect Dec 22 (two weeks before FedEx) giving UPS a peak-season edge. See key changes and what shippers should do now.

author
Sue Ellen LeJeune

Strategic Solutions Manager

Sue Ellen LeJeune is a Strategic Solutions Manager at Green Mountain, the founder and gold standard in Parcel Spend Management solutions. She leverages two decades of parcel industry experience and partners with internal Green Mountain teams to deliver best-in-class consulting services for the largest shippers in North America.   Sue Ellen’s expertise—honed over 13 years in […]

In a notable shift, UPS is pulling ahead of FedEx in the annual race to set parcel pricing. Its 2026 General Rate Increase (GRI) takes effect on December 22, two weeks before FedEx’s January 5 rollout.  
The timing difference isn’t just a calendar shift. It gives UPS a head start on capturing year-end shipments at higher rates, tightening pressure on shippers during peak season. For logistics leaders, the question isn’t just what has changed, but how these timing and accessorial shifts alter your 2026 cost optimization strategies. 

UPS Steps Ahead of FedEx with Earlier 2026 GRI Rollout 

As expected, UPS’s 5.9% base freight increase falls in line with previous years and FedEx’s 2026 GRI announcement.  
While the base freight increase was expected, the real story lies in the accessorial logic changes that will have shippers scrambling to determine the potential cost impact. The fuel surcharge indices, for now, remain unchanged. 
Historically, UPS has implemented its new rates in late December while FedEx waits until early January. This year’s December 22 effective date (just days before Christmas) marks the earliest rollout in recent UPS history, giving the carrier an advantage in capturing year-end shipments under the new rates. 
YearUPS GRI Effective DateFedEx GRI Effective Date
2026 Monday, Dec 22, 2025 Monday, Jan 5, 2026 
2025 Thursday, Dec 26, 2024 Monday, Jan 6, 2025 
2024 Tuesday, Dec 26, 2023 Monday, Jan 1, 2024 
2023 Tuesday, Dec 27, 2022 Monday, Jan 2, 2023 
2022 Monday, Dec 27, 2021 Monday, Jan 3, 2022 
2021 Monday, Dec 28, 2020 Monday, Jan 4, 2021 
By service breakdown:
Next Day Early AM
LetterAll Zones3.99%
1-150All Zones5.06%
1-1502-84.98%
1 LbsZone 23.65%
 Zones 2-3Zones 4-6Zones 7-8
Letter3.49%4.04%4.27%
1-54.05%4.83%5.03%
6-103.66%4.33%4.46%
11-204.33%5.02%5.11%
21-504.72%5.26%5.32%
50+4.82%5.06%5.12%
Next Day AM
LetterAll Zones6.12%
1-150All Zones5.55%
1-1502-85.41%
1 LbsZone 26.22%
 Zones 2-3Zones 4-6Zones 7-8
Letter6.21%6.20%6.21%
1-56.21%6.20%6.20%
6-105.21%5.20%5.20%
11-205.71%5.70%5.70%
21-505.70%5.70%5.70%
50+5.25%5.25%5.27%
Next Day Saver
LetterAll Zones6.51%
1-150All Zones5.39%
1 LbsZone 26.52%
 Zones 2-3Zones 4-6Zones 7-8
Letter6.51%6.51%6.51%
1-56.51%6.51%6.50%
6-104.51%4.50%4.50%
11-205.51%5.50%5.50%
21-505.51%5.50%5.50%
50+5.26%5.31%5.42%
Second Day Air AM
LetterAll Zones6.02%
1-150All Zones5.27%
1 LbsZone 26.03%
 Zones 2-3Zones 4-6Zones 7-8
Letter6.02%6.02%6.01%
1-56.02%6.01%6.01%
6-105.01%5.01%5.00%
11-206.01%6.00%6.00%
21-506.00%6.00%6.00%
50+4.95%4.95%4.95%
Second Day Air
LetterAll Zones6.46%
1-150All Zones5.44%
1-1502-85.25%
1 LbsZone 26.69%
 Zones 2-3Zones 4-6Zones 7-8
Letter6.71%6.70%6.69%
1-56.70%6.70%6.70%
6-104.91%4.90%4.90%
11-205.90%5.90%5.90%
21-505.90%5.90%5.90%
50+4.94%4.93%4.93%
3 Day Air Select
LetterAll Zones5.42%
1-150All Zones5.05%
1 LbsZone 25.43%
 Zones 2-3Zones 4-6Zones 7-8
Letter5.43%5.42%5.42%
1-55.32%5.32%5.31%
6-105.11%5.11%5.11%
11-205.91%5.91%5.90%
21-505.91%5.90%5.90%
50+4.69%4.69%4.68%
Ground
1-150All Zones5.56%
1-1502-85.49%
1 LbsZone 25.92%
 Zones 2-3Zones 4-6Zones 7-8
1-55.97%5.97%6.04%
6-105.48%5.53%5.63%
11-205.98%5.96%6.02%
21-505.97%5.95%6.01%
50+5.38%5.19%5.25%
Standard to Canada (Export)
1-150All Zones5.88%
1 LbsZone 515.52%
 Zones 51-52Zones 53-54Zones 55-56
1-55.52%6.01%6.51%
6-105.52%6.01%6.51%
11-205.01%5.76%6.51%
21-505.26%5.88%6.50%
50+5.25%5.88%6.50%

Accessorials: Where the Real Impact Lies 

Along with the base freight increase, UPS announced several changes to their accessorials including logic changes and price increases ranging from 5-10%. The Zip Code alignment is changing for both Zones and Delivery Area Surcharges. Depending on your shipping profile, these changes could increase both base freight and accessorial costs.  
Even small details matter: the weekly fee for renting a printer will increase by over 300%, going from $3.00 to $9.99. While minor in isolation, the adjustments compound quickly across enterprise operations. 

Dimensional and Weight Threshold Changes 

Effective January 26th, 2026, UPS will introduce new criteria for Additional Handling and Large Package Surcharges: 
  • Additional Handling: new cubic threshold of 10,368 cubic inches.  
  • Large Package Surcharge: cubic threshold of 17,280 cubic inches and a new weight threshold of 110 pounds.  
The surcharge amounts for Additional Handling and Large Package, both tiered by Zone, will increase between 5-10%. 
These new thresholds align with FedEx’s announcement, which will go into effect on January 12th, 2026. 

Executive Takeaways: What to Do Next 

The 2026 GRIs underscore the need for proactive planning. Shippers who act proactively can turn rate changes into strategic leverage rather than reactive cost increases. 
  • Mitigate and forecast annual rate increases by having contractual rate caps that cover both freight and accessorials. 
  • For large packages, consider differentiating through volume, density, or model diversification. 
  • For dual sourced shippers, model out the two-week overlap accounting for UPS’s earlier effective date when forecasting December costs and planning carrier allocation. 
  • Consider the timing difference in the Additional Handling and Large Package Surcharge changes during carrier and service selection. 
  • Quantify accessorial exposure to determine actual financial impact.  
  • Revisit 2026 bid timing to avoid leaving savings behind. 
At Green Mountain, we partner with large, complex shippers to translate GRI changes into opportunity and sustain a long-term advantage. See how we can help you prepare for 2026.  
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