“By significantly reducing our fuel surcharges,” adds Duncan, “we offer immediate and long-term assistance to shippers who are facing both a challenging economy and volatile fuel prices.” In addition, FedEx Freight National LTL will cuts its standard fuel surcharge to match that of FedEx Freight. FedEx National LTL was formed when FedEx Freight purchased Watkins Motor Freight for $780 million in May 2006.
The provider of regional next-day and second-day less-than- truckload (LTL) service is a subsidiary of FedEx Corp. Fuel surcharges for FedEx Express and FedEx Ground will not be impacted by changes to the FedEx Freight and FedEx National LTL fuel surcharges. Fuel surcharges for both LTL companies are updated weekly, based on fuel prices published by the U.S. Department of Energy.
Duncan points to proactive steps being taken by FedEx Freight and FedEx National LTL to address rising fuel costs. The carriers operate some of the newest equipment in the industry and are working with engine manufacturers, the Environmental Protection Agency and Department of Transportation to find new solutions that balance efficiency and productivity.