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Amazon, USPS, UPS, FedEx Add Fuel Surcharges as Oil Prices Jump

Higher energy costs tied to the Iran conflict are pushing delivery companies to pass expenses to sellers and shoppers.

Overview

  • Amazon will add a temporary 3.5% fee on sellers who use its Fulfillment by Amazon storage and shipping service starting April 17.
  • The company says the fee will also apply to Buy with Prime and Multi-Channel Fulfillment on May 2.
  • USPS plans an 8% temporary surcharge on many packages starting April 26 that runs through January 2027.
  • UPS and FedEx have raised fuel surcharges in response to rising costs that experts link to the war in Iran and disruptions in the Strait of Hormuz.
  • Energy prices have surged during the conflict, with reports showing U.S. crude near $110 a barrel and the national gas average around $4.08 per gallon, and economists warn these costs will filter into consumer prices.