FedEx Corp said on Tuesday it would increase shipping rates and customs clearance service fees on imports from Jan. 1, 2024 as the parcel delivery company strives to boost its profitability.

FedEx Express shipping rates will increase by an average of 5.9% for U.S. domestic, export and import services, the company said in a statement.

It will also hike shipping rates for its Ground and Home Delivery units by the same amount.

FedEx Freight shipping rates will increase by an average of 5.9% to 6.9%, the company said, adding that these newer rates would apply to only shipments within the U.S.

(Reporting by Priyamvada C in Bengaluru; Editing by Vinay Dwivedi)