I’m Jay Kent, managing director of SLB Performance, a consulting firm that helps companies reduce supply chain costs, implement BI tools, and improve in-stock and customer service. After 25 years of leading some of the most complex supply chains in the industry, I began advising companies in multiple industries and verticals.
It’s important to understand the market to mitigate costs and improve efficiencies. So, twice a month, I’ll share parcel news and thoughts. Be sure to hit the subscribe button to receive the latest newsletter in your LinkedIn notifications.
In addition, on those weeks that Parcel Notes does not go out, we send a market update and analysis email to subscribers. ***If you would like to be added, please DM me***.
In a bid to compete against FedEx and UPS, regional parcel carrier, OnTrac will launch an express delivery offering and a deferred ground shipping service in early 2026. According to Supply Chain Dive, OnTrac is looking to capitalize on what it views as underserved areas of the delivery market.
FedEx
- FedEx is the first parcel carrier to announce 2026 rates. The average rate increase will be 5.9%, same as last year, effective Jan 5. Additionally, FedEx Date Certain Home Delivery, FedEx Evening Home Delivery, and FedEx Appointment Home Delivery surcharges will be applied per package rather than per shipment beginning Jan 12.
As FedEx reduces its US network, it is investing outside of the US. For example:
- FedEx Express is expanding its electric fleet in Mexico with 72 new vehicles. The new EVs will join FedEx’s existing fleet of over 1,300 vehicles in Mexico and are intended for last-mile delivery and parcel pickup, where emissions are highest.
- Qatar Free Zones Authority and FedEx Logistics have officially opened a new regional logistics facility at Ras Bufontas Free Zone according to a FedEx press release. The 1,249 sqm facility features integrated warehousing, storage, and office spaces. It will serve as a key gateway for freight forwarding and scheduling, facilitating the movement of goods between major markets in Asia, Europe, and North America.
- FedEx also announced a new 19,000 sq. ft purpose-built facility at East Midlands Airport to further strengthen its UK and international network. The new facility will operate independently from the company’s existing parcel sorting operations and is designed to enhance freight handling efficiency, while providing customers with improved connectivity to the U.S., EU, APAC and the rest of the world.
UPS
- UPS Mail Innovations will implement peak season shipping fees from Oct. 5 until Jan. 18, 2026
- UPS and American Express announced an expanded agreement to help small businesses grow and drive commerce in their communities. For the first time, the two companies are rolling out new and exclusive offers to support small and medium-sized businesses. For example, merchant savings via American Express’ Business Savings Suite that span UPS air, ground and international shipping options and allow SMBs to save more as they ship more with UPS.
- UPS’ Sparks Nevada warehouse is under renovation, and workers say construction work, along with what they said were longstanding safety concerns, are putting them in harm’s way.
Like FedEx, UPS is also looking outside of the US for profitable growth.
Amazon
- Amazon announces its Prime Big Deal Days for October 7–8 which should benefit carriers such as FedEx and UPS.
- This is an Amazon blog post worth reading – How Amazon’s delivery network helps expand food access for families facing food insecurity
- Amazon has opened its first same-day delivery facility in Louisiana, a 150,000-square-foot site in Jefferson Parish that the company says will speed up service for customers in the New Orleans area.
- Amazon has taken a stake in the Colombian delivery company Rappi Inc., a strategic partnership that pairs Amazon’s retail and technology infrastructure with one of Latin America’s best-known last-mile delivery outfits.
- Amazon Air Cargo expanded its operations to the Caribbean with the launch of flights to the Dominican Republic. The new service will operate seven times a week between Miami and Las Américas International Airport. The flights are operated in partnership with ALK Global Logistics and airport operator AERODOM and offer around 770 metric tons of capacity per week.
That’s it for now. Stay tuned for the next newsletter Oct 1. Don’t forget to hit the subscribe button to ensure you receive it in your LinkedIn notices. In addition, if you like what you’re reading, sign up to receive additional insights and analysis via emails twice a month – DM me for more info. In addition, be sure to check out our growing number of videos on our YouTube channel and our website for more information.
Most important though, reach out if you’d like to learn how to lower or even possibly eliminate any parcel fees. 📦
-Jay.