USPS says it will make its postage fuel surcharge permanent in 2027 as diesel prices soar

November 12, 2026 / 6:07 PM EST / CBS News

The U.S. Postal Service on Thursday said it will permanently raise postage rates next year to cover higher fuel costs.

The USPS will make a temporary 8% surcharge on select postage prices, originally introduced in April, permanent in 2027, and also tack on a 3% price increase. The USPS Board of Governors, which oversees the agency's policies, approved the 11% hike, according to the USPS.

The changes will take effect on Jan. 17, 2027.

"The USPS governors believe these new rates will keep the Postal Service competitive while providing the agency with much needed revenue as it continues to struggle with financial issues," the agency said in a statement.

The agency will reevaluate the surcharge in July 2027 based on fuel prices in the first half of the year.

The USPS also said it would increase domestic shipping service costs by an average of 5.9% for Priority Mail service, Priority Mail Express, USPS Ground Advantage and Parcel Select.

In addition, international rates will rise by an average of 7.9% for Priority Mail Express International, Priority Mail International, First-Class Package International Service and International Priority Airmail.

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Original source: https://www.cbsnews.com/moneywatch/