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UPS Announces Domestic Fuel Surcharge Increase Effective January 5, 2026

Written by Brian Byrd | Nov 20, 2025 10:18:46 PM

UPS has announced that, effective January 5, 2026, it will adjust its domestic fuel indexes to increase fuel surcharge rates for U.S. Domestic services by +1% from current levels. 

This adjustment applies to UPS Ground Domestic and UPS Ground Saver® (formerly UPS SurePost®) services. 

Using current reference prices — U.S. On-Highway Diesel for Ground services and Kerosene-Type Jet Fuel for Air services — the following increases will take effect: 

  • Domestic Ground Fuel Surcharge will rise from 20.75% (currently an all-time high) to 21.75% 
  • Domestic Air Fuel Surcharge will rise from 20% to 21% 

Since the first reference prices were published in January 2025, the basis cost of ground fuel has increased 8.62% year-to-date, resulting in a 24.3% overall increase in the UPS Domestic Ground fuel surcharge. Over the same period, the basis cost of air fuel has increased 2.95% year-to-date, leading to a 23.5% overall increase in the UPS Domestic Air fuel surcharge. 

UPS fuel surcharges are index-based and adjusted weekly using data from the U.S. Energy Information Administration (EIA). The updated fuel indexes reflecting these changes are outlined in the newly released UPS fuel surcharge tables effective January 5, 2026.  

Learn more about the new fuel surcharges here. 

Email sales-info@transimpact.com with your questions, or for an analysis of your parcel shipping spend and our tips for mitigating the cost of these new costs. You can also download our 2026 UPS GRI report.