Shippers have increasingly grown accustomed to and wary of the significant hidden costs that typically accompany the annual GRIs. This year marks a welcome moment of restraint, but the bigger picture is far more complex.
Shippers have come to know that the carriers’ annual general rate increases (GRIs) all too often belie significant and often margin-breaking cost increases, with many seeing a dramatic difference between the uptick on published rate cards and their own year-over-year cost increases. Historically, those who simply applied the GRI to their previous annual budget found that surcharges, new rules and other conditions radically impacted margins and the bottom line.
This reality became particularly overt over the past several years when shippers’ actual costs significantly outpaced even record-breaking GRIs. Importantly, the impact on some shipping profiles was particularly over the published average increase as carriers’ shifted their focus from gaining market share to improving revenue quality.
With FedEx and United Parcel Service (UPS) we are seeing a significant shift in 2026, with the 5.9% GRI falling relatively in line with the actual cost increases most shippers will see at this time. This of course is welcome news, but unfortunately the reality is far more nuanced.
On the most basic level, new accessorial charges introduced over previous months in 2025 significantly increased shippers costs and closed the gap with the new GRIs – making them less noteworthy, at least for now. And therein lies the real story.
Carriers are no longer approaching the GRIs as one headline grabbing mechanism for increasing revenue-per-package. Instead, they have adopted a more dynamic approach to pricing. Accessorial charges that reflect everything from definitional changes to new zone-specific rules are now the primary lever for driving greater revenue-per-package.
The ramifications of this strategic shift are great. Now, more than ever, shippers need to be mindful of several important changes, including:
●Frequent cost increases are now the name of the game: Shippers who negotiated with their carriers a few times each year will face a sea change in 2026. Incremental cost increases are now the norm. For certain shipping profiles the impact of these will be severe, but even in a best case scenario shippers need to be prepared to respond to a steady stream of surcharges and other increases that cumulatively have the potential to upend budgets.
●Absolute vigilance is no longer optional: Notably, carriers are increasingly unveiling new accessorial charges with limited and sometimes no warning. Shippers must not only stay informed of immediate changes, but also maintain real-time visibility over their own shipping data to ensure that new charges do not overtly impact margins out of the blue.
●We are heading towards a multi-carrier world: Unlike previous years, the 2026 GRIs demonstrate that the carriers are no longer moving in lockstep, but instead are using their strategy for pricing and accessorial charges to secure the shipments they want based on weight, zone mix, service commitment, surcharge exposure and other factors. Simultaneously, they are also incentivizing, with must higher rates, shippers to take the remainder of their business elsewhere.
Importantly, for most shippers, these imperatives are but the tip of the iceberg, as other factors – from maintaining earned incentive discount tiers to achieving the parcel spend management precision required to understand exactly where they sit in each carrier’s priority framework – will likewise determine what lies ahead in 2026. Now, more than ever, knowledge and proactive action are key.
Josh Dunham is CEO and co-founder of Reveel. Reveel’s platform revolutionizes how businesses mange their shipping expenses. Its Parcel Spend Management (PSM) 2.0 technology empowers shippers with real-time visibility, actionable insights, and enhanced control over shipping costs and carrier performance. For insights on the 2026 GRIs and more detail on the accessorial charges shippers will face this year Reveel invites shippers to download its 2026 General Rate Increase & Surcharge Survival Guide.
