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UPS increases shipping prices ahead of holiday rush

(Scott Olson/Getty Images)

JACKSONVILLE, Fla. – UPS shipping prices are going up. The price increase will be on domestic packages and for surcharge on oversized deliveries.

The company said it has to raise prices to offset technical upgrades to avoid logjams in its network over the holidays.

UPS said it has boosted automation by 20 percent. The company said it has added seven times more processing and sorting capacity this year than it did last year. 

UPS is also working closely with more of its largest shipping customers, like Amazon.com, on forecasting demands. It wants to predict volume based on where items are shipped from. 

The company is planning to deliver 800 million packages in the U.S. between Thanksgiving and Christmas, up from 750 million last year.