What Is the Peak Demand Surcharge for Large Packages?
October 12, 2023 •Chase Flashman
When it comes to shipping and logistics, understanding all the different fees and surcharges can be overwhelming. In this article, we'll address the question: What is the peak demand surcharge for large packages? We will provide insights into its significance and the effects it has on your shipping costs.
What Is UPS Large Package Surcharge?
The UPS Large Package Surcharge is an additional fee imposed by United Parcel Service (UPS) on shipments that exceed certain size and weight limits. This surcharge is designed to account for the extra handling and transportation costs associated with larger and heavier packages, which require special handling and equipment.
UPS Large Package Surcharge Criteria
UPS generally categorizes packages by weight as follows:
- Small Package: 70 pounds and below
- Large package: 71–150 pounds
- Freight: Over 150 pounds
Other than that, UPS has specific size and weight limits that apply to packages transported through their small parcel delivery network. These restrictions are applied per package and do not extend to the total weight of your shipment or the quantity of packages within it.
- For domestic shipments, a package qualifies as a "Large Package" if its length is more than 96 inches or if its length plus girth [(2 x width) + (2 x height)] is more than 130 inches.
- In the case of international shipments, a package is categorized as a "Large Package" when the total of its length and girth [(2 x width) + (2 x height)] goes beyond 130 inches.
Packages that meet these criteria will attract a large package surcharge.
Notes:
- An ‘additional handling’ charge will not be imposed when a large package surcharge is applied.
- With the exception of UPS Ground with Freight Pricing packages, large packages are subject to a minimum billable weight of 90 pounds (40 kgs).
- To view the additional charges alongside the original freight costs, input the package dimensions when you're shipping it.
It's essential for shippers to be aware of this surcharge, as it can significantly impact shipping costs. To avoid unexpected expenses, consider optimizing packaging to minimize size and weight or explore alternative shipping options for oversized items.
How Does UPS Calculate Large Package Surcharge?
Calculation of UPS surcharges 2023: UPS calculates the Large Package Surcharge based on two key factors: size and weight. UPS applies this surcharge to packages that exceed certain size and weight limits.
- Size: The surcharge is applied to packages with dimensions (length + girth) exceeding 130 inches. Girth is calculated as 2 times the width plus 2 times the height. For example, if a package measured 60 inches in length, 30 inches in width, and 30 inches in height, its girth would be 120 inches. When added to the length, the total dimension would be 180 inches, surpassing the 130-inch threshold.
- Weight: UPS also applies the surcharge to packages weighing more than 70 pounds. To calculate the surcharge, UPS considered both size and weight factors. If a package exceeds either the size or weight limit, it would incur a large package surcharge.
What Is the Large Package Surcharge for UPS in the US?
The large package surcharge amount is determined by several factors, including the destination zone, whether the address is commercial or residential, and whether the shipment is domestic or international.
Large Package Surcharge for UPS US (Domestic Shipments)
Zone 2 |
Zones 3–4 |
Zones 5+ |
|
Commercial |
|||
Length + girth > 130" |
$135.00 |
$145.00 |
$165.00 |
Length > 96" |
$135.00 |
$145.00 |
$165.00 |
Residential |
|||
Length + girth > 130" |
$160.00 |
$170.00 |
$195.00 |
Length > 96" |
$160.00 |
$170.00 |
$195.00 |
Large Package Surcharge for UPS International Shipments
International |
$170.00 |
The amounts above are for the regular large package surcharge. In another section below, you will get to see the demand large package surcharge UPS that is charged during peak seasons.
What Are UPS Demand Surcharges?
UPS demand surcharges are additional fees that UPS may impose on shipments when there is a high demand for their services during peak shipping periods or for specific services. UPS, like other carriers, charges these fees to offset capacity constraints and encourage more balanced shipping volumes throughout the year.
Demand surcharges can vary in terms of their timing, amount, and application criteria, and they are subject to change by UPS.
The following are the demand UPS surcharges as of September 2023:
- Demand Surcharge – Applied to Additional Handling and Large Packages
- UPS imposes this surcharge on parcels exceeding the typical size and on shipments necessitating extra handling due to their size or unique packaging demands.
- Demand Surcharge – Applied to UPS Air Residential, UPS Ground Residential and UPS SurePost Packages
- This surcharge is applied to certain UPS Air Residential, UPS Ground Residential, and UPS SurePost packages for customers who exceed a predetermined shipping volume.
- UPS Demand Surcharges Based on Origin and Destination
- This surcharge is determined by various combinations of starting and ending points, as outlined in the list below. To find the rates for these specific surcharges, please refer to UPS's official surcharge document.
- Demand Surcharge – Applied to shipments from China Mainland, Hong Kong SAR or Macau SAR to the U.S.
- Demand Surcharge – Applied to shipments from Australia, New Zealand, or other Asia origins to the U.S.
- Demand Surcharge – Applied to shipments from the U.S. to Australia or New Zealand
- Demand Surcharge – Applied to shipments from European origins to the U.S. or North America
- Demand Surcharge – Applied to shipments from India to the U.S. or North America
- Demand Surcharge – Applied to UPS Standard shipments from Canada to the U.S. and UPS Trade Direct shipments from the U.S. to Canada
- Demand Surcharge – Applied to international shipments from Mexico to all destinations (except Australia and New Zealand)
- Demand Surcharge – Applied to international shipments from the U.S. to Canada
- Demand Surcharge – Applied to international shipments from the U.S. to Europe
- Demand Surcharge – Applied to international shipments from the U.S. to all destinations (except Australia, Canada, Europe, and New Zealand)
- Demand Surcharge – Applied to international shipments from all origins to all destinations (except shipments covered in the list above)
- This surcharge is determined by various combinations of starting and ending points, as outlined in the list below. To find the rates for these specific surcharges, please refer to UPS's official surcharge document.
How Much Is UPS Peak Surcharge for Large Packages?
The UPS peak surcharge for large package surcharge 2023 rates are as shown in the table below:
Demand Surcharge – Applied to Additional Handling and Large Packages
Surcharge |
Current Surcharge amount (Jan. 15, 2023–Sep. 30, 2023) |
New Surcharge amount (Oct. 1, 2023–Jan. 13, 2024) |
Percentage % Increase |
Additional Handling |
$3.50 per package |
$6.90 per package |
97.14% |
Large Package Surcharge |
$40.00 per package |
$74.90 per package |
87.25% |
Over Maximum Limits |
$0.00 per package |
$410.00 per package |
– |
How ShipSigma Can Help
Whether you need invoice auditing to eliminate unnecessary charges or seek to negotiate better rates with your carrier, ShipSigma is your ideal partner. With a track record of over $100 million in shipping fee savings, we assure you of a cost-effective partnership.
Contact us today to uncover the potential cost-saving opportunities that await you.