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USPS Update on New Shipping Services Prices for 2025
USPS Update on New Shipping Services Prices for 2025

Newsweek

time11-05-2025

  • Business
  • Newsweek

USPS Update on New Shipping Services Prices for 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.

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