2025 USPS Rate and Service Changes

Updated as of 1/20/25.

The United States Postal Service (USPS®) typically adjusts its postage rates at least once a year, sometimes more often. At ShipEngine, we’re here to help keep you updated on these changes so you can effectively manage your shipping costs.

In this blog, we’ll break down the latest USPS rate updates and show how we help you stay informed and ahead of the curve.

The best part? We’re here to provide you with great savings on USPS shipping services. Even as rates change, we can help you save and get the most out of your shipping budget.

What are Rate Changes?

Many carriers, like USPS, periodically adjust their shipping rates. These changes are influenced by various factors, including fuel costs, inflation, and operational improvements. While these adjustments are necessary for carriers to remain competitive and sustainable, they can impact your shipping.

January 2025 Rate Changes

Starting January 19, 2025, USPS will implement several rate adjustments. Keep reading to learn more about these changes.

Peak Demand Surcharges are Ending

The USPS peak demand surcharges that started on October 6, 2024, to help manage the holiday shipping rush will end on January 19, 2025. Once they end, shipping prices will go back to “normal,” meaning the seasonal surcharges will no longer be added.

USPS Rate Changes

Specific service rates were adjusted by USPS on January 19, 2025. See how these changes will impact your USPS shipping rates on ShipEngine compared to Commercial Rates:

  • Ground Advantage™: Overall, rates decreased by about 0.5%, with savings up to $3.03 and discounts of up to 21.3% off Commercial Rates. However, some packages under one pound saw a slight increase of about 1.3%.
  • Ground Advantage™ Cubic: Prices dropped by about 1.2%, offering savings of up to $1.69 and discounts of up to 20.5% off Commercial Rates.
  • Priority Mail®: This service had the largest decrease, down about 5.7%, with some rates decreasing as much $10.50 and discounts of up to 24.6% off Commercial Rates.
  • Priority Mail® Flats Rate: Rates decreased by about 1.7%, with savings of up to $1.30 in some areas and discounts of up to 5.4% off Commercial Rates.
  • Priority Mail Cubic®: Prices went down by about 3.4%, offering savings of up to $4.88 in some areas and discounts of up to 19.1% off Commercial Rates.

USPS Rural ZIP Code Changes

In September 2024, USPS designated a specific list of rural ZIP Codes. The updated list, as of January 19, 2025, now reflects 12 fewer rural ZIP Codes than before, with some being removed and others added To find out if a specific ZIP Code is affected, contact our support team for help.

Retail and Commercial Price Changes

USPS announced updates to Retail and Commercial shipping rates, set to take effect on January 19, 2025. These adjustments are designed to keep USPS competitive while supporting revenue needs.

What Does this Mean for You?

Navigating frequent carrier rate changes can be challenging, but we’re here to make it easier. Our software provides tools and resources to help you stay on top of these updates while optimizing your shipping operations.

Here’s How We Help:

  • Providing Resources: We’ll update this blog with USPS changes, so be sure to bookmark it for easy access.
  • Offer Discounted Rates: Enjoy savings of up to 89% on USPS shipping, thanks to our partnership.
  • Keep You Informed About the Industry: We’ll keep you updated on the ever-changing landscape of carriers, including topics like rate changes, demand surcharges, dynamic pricing, and other industry shifts.
  • Streamline Your Fulfillment Process: From printing shipping labels to tools that help you make the best carrier decision for your business, we help simplify every step.

By partnering with ShipEngine, you can make informed decisions, avoid surprises, and maintain smooth shipping operations even as carrier rates evolve.

For more information, check out our Help Center. Stay ahead of the game and navigate the USPS rate changes with confidence!

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