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USPS Rate Hikes Take Effect July 13: What 3PLs & Ecommerce Sellers Need to Know

The USPS is set to increase prices across its mailing and shipping services starting July 13, 2025, with significant implications for 3PLs and e-commerce sellers. Key changes include a 7.4% increase in the cost of a Forever stamp, shipping rate hikes for Priority Mail, Ground Advantage, and Parcel Select, and the discontinuation of Parcel Select’s NDC entry option. These adjustments come as part of USPS’s broader plan to achieve financial sustainability—but for fulfillment operators, they signal the need for immediate recalibration of pricing, carrier strategy, and warehouse routing. On the upside, insurance rates will decrease by about 12%, offering some relief for higher-value shipments. Businesses relying on USPS should prepare now to avoid margin erosion and fulfillment delays.

William
William Carlin

02 Jul 2025 2:45 PM

USPS Rate Hikes Take Effect July 13: What 3PLs & Ecommerce Sellers Need to Know
HotNotes
  • USPS rates rise July 13: shipping services like Priority Mail and Ground Advantage increasing 6–10%
  • Parcel Select NDC entry discontinued, requiring potential operational adjustments for 3PLs
  • Businesses should review shipping strategies, pricing, and multi-carrier options now
  • USPS Rate Hikes Take Effect July 13: What 3PLs & Ecommerce Sellers Need to Know


    The U.S. Postal Service (USPS) is set to raise prices across multiple mailing and shipping categories starting Sunday, July 13, 2025. The proposed price changes have been submitted to the Postal Regulatory Commission (PRC), and barring objections, will go into effect as scheduled.


    Key Changes in Mailing Rates


    • First-Class Mail Forever stamp: $0.73 → $0.78
    • Metered letters (1 oz): $0.69 → $0.74
    • Domestic postcards: $0.56 → $0.62
    • International postcards & 1 oz letters: $1.65 → $1.70
    • Additional ounces: $0.28 → $0.29


    While these mailing rate increases affect consumers and businesses alike, the biggest impact for e-commerce sellers and 3PLs will come from shipping service adjustments.


    Shipping Services See Notable Increases


    USPS has also filed to raise rates for its core package delivery products:


    • Priority Mail: +6.3%
    • USPS Ground Advantage: +7.1%
    • Parcel Select: +7.6%


    Retail rates for Ground Advantage are expected to rise by nearly 9.8%, and Parcel Select Destination Delivery Unit (DDU) entry may go up by around 10%, according to Supply Chain Dive.


    The USPS also plans to discontinue the use of network distribution centers (NDCs) for Parcel Select, which will likely redirect volume and reshape fulfillment workflows across the country.


    What This Means for 3PLs and Ecommerce Sellers


    1. Squeezed Margins

    The hikes affect nearly every USPS shipping product. If your 3PL relies heavily on USPS for final-mile or regional fulfillment, now is the time to reprice services and recalibrate your fulfillment flows.


    2. Direct Mail & Inserts

    For brands using postcard marketing, subscription renewals, or customer loyalty mailers, the 5¢ Forever stamp increase matters. Even metered mail now approaches 75¢ per ounce—an important consideration for physical invoices, catalogs, or returns documentation.


    3. Insurance Discount Relief

    There is one bright spot: USPS is lowering rates for shipping insurance by about 12%, which may benefit sellers of higher-value goods or returns operations.


    4. Shift Toward Ground Advantage

    As USPS consolidates Parcel Select into Ground Advantage, expect shifts in service eligibility, entry point pricing, and routing decisions. Sellers with zone-skewed demand may want to revisit zone-based rate maps.


    Action Steps for Ecommerce Shippers & 3PLs


    • Use a multi-carrier platform to compare USPS with UPS, FedEx, and regional players.
    • Review packaging strategy: Flat-rate boxes vs. cubic pricing vs. dimensional weight.
    • Stock up on stamps now before the price increase.
    • Audit your Parcel Select usage: With NDC entry ending, you may need to reconfigure shipping methods or switch to Ground Advantage.
    • Update your pricing model to reflect the higher USPS cost structure.


    USPS’s Justification


    According to the official USPS release, the changes are aligned with the organization’s 10-year plan to become financially self-sustaining while continuing to offer "some of the lowest letter-mail postage rates in the industrialized world."


    Still, this is the second price increase in a single year, following a similar round of hikes in January 2025, further pressuring 3PLs and sellers operating on thin margins.


    Final Thoughts


    For 3PLs, warehouse operators, and e-commerce brands, the July 13 USPS price adjustment is more than just a postage change—it’s a strategic inflection point. With shipping costs on the rise and operational complexity increasing, proactive planning is essential.


    Need to evaluate which warehouses can get you closer to your customers and reduce shipping costs? Start your search at Racklify.

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