In Q3, shipping discounts from UPS and FedEx resulted in significantly lower ground delivery rates, reaching the lowest levels since 2021, with a 20.3% increase over the January 2018 baseline. The discounts were particularly pronounced for large customers, while small businesses also benefitted. Despite an increase in surcharges, competitive pricing pressure continued, with average ground parcel discounts rising by 2.4% from Q2 to Q3. The index predicts further increases in shipping rates as peak season surcharges come into effect, although conditions will remain favorable for shippers compared to the previous year.

Source: https://www.supplychaindive.com/news/ups-fedex-rate-discounts-cowen-afs-index-q3-2024/730305/