The Cost of Shipping Is Going Up in Texas, Thanks to the U.S. Postal Service

HOUSTON, Texas (KPEL News) - Shipping costs are about to rise, and it’s all due to a new policy from the U.S. Postal Service (USPS) that could affect major shipping companies and consumers alike.

The USPS recently announced it’s ending discounts used by shipping consolidators—like UPS, DHL, and others—to deliver packages to your doorstep. While this move is meant to save money for the Postal Service, it’s expected to drive up costs for consumers.

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Postmaster General Louis DeJoy explained that the decision isn’t about taking over the package delivery industry but rather about securing the future of the mail service.

“I’m not trying to take over the package business. I’m just trying to save the mail business,” DeJoy said in a statement to The Associated Press. The USPS plans to renegotiate deals with consolidators, but the new terms will focus on a more efficient use of their network that benefits both parties.

Amazon, which negotiates its own contracts with the USPS, won’t be affected by the changes. However, shipping consolidators that rely on the Postal Service for final deliveries—including companies like DHL eCommerce and UPS SurePost—will likely have to raise their prices.

The bottom line? Higher shipping rates could trickle down to consumers on a wide range of products. This policy shift means that items you order online, especially those handled by consolidators, might become more expensive to ship in the near future. Prepare for potential price hikes on deliveries as the Postal Service works to manage its budget more efficiently.

In late August, the USPS tried to quietly push a new plan that would save them about $3 billion a year as part of a 10-year plan. But some of those changes could hurt Americans as well.

The new delivery schedule being pushed by the agency would mean up to a 12-24 hour delay for deliveries in rural parts of the United States. Instead of three days or less, some places could see deliveries take a bit longer.

Which, if you're in dire need of something that is being mailed or shipped, can be a make-or-break situation.

But it's all a part of the agency's plan to cut costs - it has seen tens of billions of dollars in losses over the course of decades. And some critics say the postal service is essentially asking Americans to pay more for worse service.