logo
USPS Update on New Shipping Services Prices for 2025

USPS Update on New Shipping Services Prices for 2025

Newsweek11-05-2025

Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources.
Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content.
The United States Postal Service (USPS) has announced that it plans to raise prices on its shipping services this summer.
Why It Matters
The Postal Service, the largest mail carrier in the country, is rolling out the rate increase as it strives to make its package delivery business more profitable.
The independent federal agency has been facing financial struggles in recent years, having implemented a 10-year plan to stabilize in 2021. It reported a $9.5-billion loss in the fiscal year ending in September 2024, compared to a net loss of $6.5-billion in the fiscal year 2023. It reported a $3.3-billion net loss in the first quarter of 2025—nearly double during the same period last year.
The USPS does not receive tax dollars for operating expenses and relies on the sale of postage, products and services in order to fund its operations.
What To Know
The USPS has announced it plans to increase prices for its Ground Advantage, Priority Mail and Parcel Select products beginning on July 13, according to a filing from the agency made on Friday.
Priority Mail service will increase in price by 6.3 percent; 7.1 percent for USPS Ground Advantage; and 7.6 percent for Parcel Select.
"Although mailing services price increases are based on the Consumer Price Index, shipping services prices are primarily adjusted according to market conditions," the postal service said in the announcement. "The USPS governors believe these new rates will keep the Postal Service competitive while providing the agency with needed revenue."
A USPS mail truck leaves for a delivery in Fullerton, California, on July 18, 2020.
A USPS mail truck leaves for a delivery in Fullerton, California, on July 18, 2020.
GETTY
There will be no price increases for Priority Mail Express, Domestic Extra Services, International Ancillary Services, or International Products.
It follows on from the last price hike for shipping services, which took effect in January 2025.
A separate request to the Postal Regulatory Commission made in April would also see the price of stamps rise this year.
What People Are Saying
The USPS said in a press release issued on May 9: "As part of the 10-year comprehensive strategic Delivering for America plan, these proposed changes will support the Postal Service in creating a revitalized organization capable of achieving its public service mission—providing a nationwide, integrated network for the delivery of mail and packages at least six days a week—in a cost-effective and financially sustainable manner over the long term, just as the U.S. Congress has intended."
What Happens Next
The price increases were approved by the USPS Board of Governors this week, and will be implemented on July 13 pending approval from the Postal Regulatory Commission.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Stocks to Watch as May's Jobs Report Beats Economists' Expectations: PCTY, MMS
Stocks to Watch as May's Jobs Report Beats Economists' Expectations: PCTY, MMS

Yahoo

time9 hours ago

  • Yahoo

Stocks to Watch as May's Jobs Report Beats Economists' Expectations: PCTY, MMS

The broader indexes saw a nice uptick on Friday as May's Jobs report came in better than expected, with the S&P 500 and Nasdaq rising over +1%. Driving the stock market's uptick, U.S. employers added 139,000 jobs, which came in above most economists' expectations of 125,000-130,000, while the unemployment rate remained steady at 4.2%. Also helping to appease tariff uncertainty was that wage growth outpaced inflation, with average hourly earnings rising 3.9% year over year compared to April's latest reading of a 2.3% inflationary uptick (Consumer Price Index). Notably, the next inflation report is set for Wednesday, June 11, when the Fed releases the latest CPI data. That said, here are a few stocks investors will want to consider following May's optimistic jobs report, with payroll stocks being of interest in particular. Image Source: Federal Reserve Economic Data Paylocity PCTY is a cloud-based payroll and human capital management (HCM) software solutions provider to keep an eye on. Notably, Paylocity has continued an impressive streak of surpassing earnings expectations, most recently beating EPS estimates for its fiscal third quarter by 16% in May. Paylocity has now exceeded the Zacks EPS Consensus for 26 consecutive quarters with an average EPS surprise of 15.4% over the last four quarters. Image Source: Zacks Investment Research Meanwhile, government health and human services program provider Maximus MMS is benefiting from a pleasant trend of rising EPS revisions and trades at a very reasonable 10.8X forward earnings multiple. Glamorizing Maximus' attractive P/E valuation, fiscal 2025 and FY26 EPS estimates have risen nearly 7% and 4% in the last 30 days, respectively, with the company blasting earnings expectations for its fiscal second quarter by 47% last month (Q2 EPS of $2.01 versus $1.37 Consensus). Image Source: Zacks Investment Research Other payroll stocks to consider include HCM software providers Dayforce DAY and Paychex PAYX, along with outsourcing company Barrett Business Services BBSI which all land a Zacks Rank #3 (Hold). Furthermore, certain medical and hospitality-related stocks are appealing as May's Jobs report showed job growth was strongest in the healthcare and leisure/hospitality sectors, which added 62,000 and 48,000 jobs, respectively. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Maximus, Inc. (MMS) : Free Stock Analysis Report Paylocity Holding Corporation (PCTY) : Free Stock Analysis Report Paychex, Inc. (PAYX) : Free Stock Analysis Report Barrett Business Services, Inc. (BBSI) : Free Stock Analysis Report Dayforce, Inc. (DAY) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

Analyst on X: Trucking is set up for inflationary cycle
Analyst on X: Trucking is set up for inflationary cycle

Yahoo

time16 hours ago

  • Yahoo

Analyst on X: Trucking is set up for inflationary cycle

Market analyst May Ling (@MarketswithMay) recently highlighted an intriguing trend in the trucking industry through her X (formerly Twitter) post, drawing attention to logistics as a significant component of the Producer Price Index (PPI). Her observations come at a pivotal time for the transportation sector, which has experienced dramatic fluctuations since the COVID-19 pandemic. Specifically, Ling noted that within the PPI, logistics seems to be the first sector that cut capacity in response to soft demand, rather than raising prices to make up for smaller batches. 'Most producers DID NOT reduce capacity — instead, they raised prices to coincide with smaller batch sizes (mostly in goods, but also true in some services),' Ling wrote. 'This is what was causing Inflation in many areas and should be deflationary once you get volume increases.' The PPI is a critical economic indicator that measures the average change over time in selling prices received by domestic producers for their output. Unlike the Consumer Price Index (CPI), which tracks retail prices paid by consumers, PPI captures price changes from the seller's perspective. As Ling emphasized in her tweet, 'Unlike CPI, PPI is a leading indicator for inflation,' making it particularly valuable for forecasting broader economic trends before they affect consumer U.S. truckload market has undergone significant transformation since the pandemic, characterized by extreme swings in capacity, demand and pricing. Following the COVID-19 freight boom, the industry found itself with excess capacity as demand normalized and consumer spending patterns shifted. This oversupply situation was further complicated by volatile trade policies and tariff rhetoric, creating uncertainty in import patterns. As market conditions deteriorated, thousands of small and midsize trucking carriers faced unsustainable economics. According to research from freight brokerage RXO, 'the average cost to operate a truck is 34% higher over the past decade but absolute spot rates are largely the same as they were in 2014.' This economic reality triggered widespread business failures and market exits, initiating a painful but necessary adjustment mechanism to rebalance the supply-demand equation. This newfound balance has begun manifesting in key market indicators. The national average Outbound Tender Rejection Index, which measures the percentage of tendered loads rejected by carriers, climbed to 6.67% – reaching the threshold where rejections start putting inflationary pressure on spot rates. Truckload spot rates (excluding fuel) rose 9.1% year over year in the first quarter of 2025, following an 11.6% growth rate during the fourth quarter of 2024. A notable development has been the emergence of significant regional disparities. By June 2025, tender rejection rates for truckload shipments originating in the Southeast surpassed 10% – the first time in nearly three years they had reached that level. In contrast, rejection rates for freight departing the West Coast remained well below the national average. The 'interior' markets of Atlanta, Chicago and Dallas showed the tightest capacity conditions among major freight observation that 'logistics is a major component of PPI Services' highlights the sector's importance in the broader economic landscape. Her tweet identified trucking as the first area within PPI where capacity reduction has begun, potentially signaling a shift in the inflation narrative. In her analysis, Ling pointed to a 'period of reverse economies of scale' that has persisted for almost two years. She explained that inflation has been driven by 'small batches, not shortage-driven price increases,' contrary to common misconceptions. Most producers maintained capacity but raised prices to accommodate smaller batch sizes, creating inflationary pressure across goods and some services sectors. Looking forward, Ling outlined several scenarios. One possibility involves producers eventually capitulating and cutting capacity, which could become inflationary if GDP growth follows. Alternatively, rate declines might arrive in time to drive volume growth, restoring profitability before businesses make significant capacity cuts. The market trajectory for truckload rates remains 'inflationary,' according to RXO, though trade policy presents a significant wild card. Transportation prices were forecast to be significantly higher a year from now, with industry respondents returning a reading of 75 for the pricing outlook in the Logistics Managers' Index. Ling noted that demand patterns, while showing some strange variations by industry, aren't the core issue. Instead, she pointed to 'weirdly choppy purchasing behavior that is not helpful to Trucking' and emphasized the binary impact of tariffs on the sector. Ling's analysis provides a valuable framework for understanding the relationship between logistics, the Producer Price Index and broader inflation trends. By identifying trucking as the first sector where capacity reduction has begun, she offers an early signal of potential shifts in the economic landscape. The trucking market's gradual healing has finally restored equilibrium between supply and demand, enabling carriers to regain pricing power. However, as Ling cautioned, the market remains sensitive to external shocks, particularly trade policy developments and potential economic headwinds. The significant reduction in truckload capacity has made the market more responsive even to modest demand changes, positioning the sector for potential volatility in the coming post Analyst on X: Trucking is set up for inflationary cycle appeared first on FreightWaves. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

Direct Mail's Staying Power In A Shifting Market
Direct Mail's Staying Power In A Shifting Market

Forbes

timea day ago

  • Forbes

Direct Mail's Staying Power In A Shifting Market

Ryan Ferrier, CEO, Lob. It's a time of real change for the mailing industry. The USPS is evolving, postage rates are rising and marketers are at the crossroads of major decisions. With new cost considerations and shifting postal operations, many are re-evaluating how and where to invest their marketing dollars. But change doesn't have to mean instability. In fact, some channels are uniquely equipped to offer consistency when everything else feels in flux. Direct mail is one of them, continuing to be a high-performing, deeply trusted channel that meets people where they are and cuts through digital noise with lasting impact. Here are three ways to leverage direct mail for clarity, stability and proven results, even when the environment is anything but predictable. Your direct mail program works best when it's agile. Whether you're adjusting for seasonality, testing new audiences or planning around promotional windows, a more adaptable approach gives you room to respond without derailing your strategy. Here are three things to consider (or reconsider): • Adjust your mail class mix. • Refine your audience to focus on higher-value segments. • Shift timing to make the most of USPS incentives. These kinds of levers give you options, and options mean control. Rigid strategies create risk. But with the right flexibility, direct mail can remain a stable, cost-effective part of your marketing mix, no matter what's happening around it. Direct mail doesn't have to be expensive to be effective. When approached strategically, it can be a highly cost-efficient channel. Targeted, thoughtful campaigns aimed at a smaller, high-intent audience will consistently outperform broad, untargeted blasts—especially when every dollar needs to count. By focusing on the right segments, you not only save on production and postage but also increase your likelihood of engagement and ROI. So start with your campaign outcome in mind. Ask yourself: Can I refine my audience to focus only on the highest-value segments? This might mean filtering by purchase behavior, loyalty status, geography or engagement history. The more relevant the message and the tighter the targeting, the more impactful your campaign will be. In times of change, people turn to brands they trust. And trust is built when you meet people where they are. Direct mail gives you a real opportunity to do that. Use mail to deliver communications that feel personal, timely and relevant. That could be a service reminder, a birthday postcard or an offer tailored to recent behavior. These small signals reinforce that your brand is still paying attention. You can also use it to educate. Share helpful, relevant content that is useful to your customers. The more you position your brand as a steady guide, the more likely they'll be to come to you when it counts. It's a turbulent time, but panic isn't a strategy; preparation is. Direct mail is still a reliable, results-driven channel. And with the right focus, it can be a stabilizing force in your marketing mix. Stay consistent. Be smart about costs. Focus on your customers. If you do those three things, direct mail won't just help you weather the storm; it will help you stand out, convert more customers and offer real value at a time when people need it most. Forbes Communications Council is an invitation-only community for executives in successful public relations, media strategy, creative and advertising agencies. Do I qualify?

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store