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As an e-commerce seller, understanding shipping surcharges is crucial for managing your business effectively. In this guide, we'll break down everything you need to know about shipping surcharges, why they occur, and how to minimize them.
Shipping surcharges are additional fees applied by carriers when there's a discrepancy between the declared package specifications and the actual measurements. These adjustments ensure accurate billing for shipping services.
For more details, please refer to the official UPS Additional Handling Guidelines.
Surcharges are processed in batches as received from carriers. While this might seem overwhelming, it's simply a matter of timing rather than multiple surcharges per shipping label/shipping issue. These adjustments typically appear 30-60 days after shipment.
The surcharge amount is calculated as the difference between what the shipping label would have cost based on the audited weight and dimensions, minus the amount already paid. While most adjustments result in additional charges, you may occasionally receive credits when packages are lighter or smaller than declared.
UPS may apply an Additional Handling charge to shipments that exceed specific size, weight, or packaging standards. This surcharge typically applies if a package’s longest side exceeds 48 inches, the second-longest side exceeds 30 inches, or if the combined length and girth (calculated as the longest side plus 2×width + 2×height) exceeds 105 inches. Weight is another factor — packages over 50 pounds domestically or 70 pounds internationally may also incur this fee. Additionally, irregular packaging can trigger the charge, especially for items not fully encased in corrugated cardboard (like barrels or drums) or soft-sided packs (such as poly bags or bubble mailers) that exceed 18 inches (longest side), 14 inches (second-longest), or 6 inches in height. For more details, please refer to the official UPS Additional Handling Guidelines.
You can monitor surcharges through your balance history, where they appear as "Shipping Cost Adjustment" or "Shipping Cost Adjustment Rebate." If you notice any discrepancies, don't hesitate to request a detailed investigation of specific tracking numbers.
To minimize future surcharges and maintain efficient shipping operations:
While shipping surcharges can be frustrating, understanding their nature and taking proactive steps to prevent them can significantly improve your e-commerce operations. Remember that accuracy and consistency in your shipping practices are key to minimizing additional costs.
