Major Changes to UPS-USPS Package Delivery Services After SurePost Contract Ends

January 16, 2025 – The United Parcel Service (UPS) and the U.S. Postal Service (USPS) have officially parted ways regarding their SurePost delivery program. The contract’s expiration, confirmed by the International Brotherhood of Teamsters, brings significant changes to package delivery across the country.

The SurePost program allowed USPS to complete the “final mile” of deliveries for UPS packages, including P.O. boxes, Army posts, and Navy fleets. However, with the partnership ending, customers now face stricter delivery requirements.

New Delivery Challenges for Customers

USPS remains the only carrier authorized to deliver to P.O. boxes and military addresses. UPS packages must now be shipped directly to a valid street or residential address. This shift is already causing concerns among rural residents and those without street addresses.

Pam Loeb, a Vermont resident, shared her frustration about the sudden change. “It’s become harder to receive online orders, especially for things we can’t buy locally,” she said. Loeb also warned that the changes could hurt small businesses, which often depend on online sales in regions with limited local shopping options.

Communication and Customer Frustration

Many customers claim they were not adequately informed about the upcoming changes. USPS stated it had been transparent since spring 2024 but acknowledged it cannot control how businesses relay such information to their customers.

“I had no idea this was happening,” said Loeb. “If I had known, I might have made different arrangements for my packages.”

UPS has suggested an alternative for affected customers. Those without valid street addresses can use UPS Store mailboxes for secure delivery. While this option offers some relief, it may not be practical or accessible for everyone.

Ripple Effects on Small Businesses

The expiration of the SurePost agreement may have broader implications for small businesses and local economies. Businesses that relied on the affordable final mile delivery service must now seek costlier alternatives, which could drive up prices for consumers.

“This change feels like another challenge for small businesses trying to compete in today’s economy,” said a local business owner in Vermont. “Shipping costs are rising, and this only adds to the burden.”

What’s Next for Customers?

Customers who rely on P.O. boxes for deliveries are encouraged to provide street addresses when possible. For those who cannot, renting a UPS Store mailbox may help avoid disruptions in package delivery.

As the logistics landscape evolves, consumers and businesses alike will need to adjust to these new realities. The end of the UPS-USPS SurePost partnership marks a significant shift in how packages are delivered across the country.

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