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.
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Thanksgiving weekend marks the official start to the 2026 holiday season. Sales expectations vary which could mean a mixed bag for last-mile carriers and providers.
- Reuters – Record US Black Friday crowds to find fewer bargains amid high prices
- CNBC – Shoppers curtail Black Friday plans to stretch spending: ‘They are using every tool that they can,’ expert says
- Fortune – U.S. consumers dial back in sign of anxiety heading Into holidays
- Daily Voice – Black Friday-Cyber Monday spending to drop in 2025: Deloitte
UPS and FedEx
- UPS and FedEx are working to secure enough freighters as they deal with the grounding of their MD-11 fleets through the holiday delivery season, and potentially beyond.
- According to CNBC, the grounding of MD-11 aircraft could boost air cargo rates during the peak holiday shipping season, with some capacity out of the market, but analysts aren’t expecting a big impact.
- UPS plans to lay off close to 70 employees from a facility in Wyoming effective Jan 20, 2026. According to UPS , it is discontinuing its day sort operation.
- FedEx released its 2025 Holiday Season E-Commerce Trends repor t. Among the survey results are: Shipping costs (82%), promotions (74%), and return policies (54%) are the top factors influencing where consumers shop. Download the report here .
- FedEx’s Network 2.0 overhaul is 25% complete , and the carrier is expecting the transformation plan to reach 40% completion by May 31, according to a Nov. 13 note from TD Cowen analysts writes Supply Chain Dive’s Max Garland.
- FedEx has started using sustainable aviation fuel at two major U.S. cargo hubs , bringing SAF into daily operations at Chicago O’Hare International Airport and Miami International Airport. The company said this is the first time a cargo airline has used SAF at O’Hare, and it plans to expand the fuel across more gateways as supply increases.
Amazon
- Amazon is expanding its drone delivery service in metro Detroit, with plans to fly its drones out of its fulfillment center in Hazel Park.
- However, Amazon is facing a federal probe after one of its delivery drones downed an internet cable in central Texas last week. After dropping off a package, one of Amazon’s MK30 drones was ascending out of a customer’s yard when one of its six propellers got tangled in a nearby internet cable, according to a video of the incident viewed and verified by CNBC.
- Amazon is testing a retail-style delivery hub for rapid dispatch of Amazon Flex drivers in a Seattle neighborhood. Amazon employees will fulfill online orders in a back-of-house stockroom, placing the completed orders on shelves at the front of the space, and handing them off to Amazon Flex drivers for rapid delivery in the surrounding neighborhood.
- Amazon Pharmacy launched same-day delivery in the San Francisco Bay Area.
Surcharges and Rate Increases
UPS
- Effective January 5, 2026, the U.S. Ground Domestic and the UPS Ground Saver Fuel Surcharge and the U.S. Domestic Air Fuel Surcharge will change
- Effective November 24, 2025, the International Air-Export and International Air-Import Fuel Surcharge will change
- Effective December 22, 2025, rates for all UPS Ground Saver services will increase an average net of 5.9%
FedEx
- Effective Dec. 1 – “In order to manage the temporary reduction in fleet capacity while MD-11 safety reviews are underway, we are flexing our integrated air-ground network to provide continued connectivity. FedEx will adjust the fuel surcharges and update the tables for domestic package and express freight services and FedEx International Ground services.”
That’s it for now. Stay tuned for the next newsletter Dec 10. 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. 📦
Wishing all a Happy and Safe Thanksgiving Holiday!
– Jay