Choosing a shipping carrier can be tricky, especially for newer companies. Canada’s top options are FedEx and UPS, and they’re famous for being reliable and easy to use. But general features aren’t enough — the perfect choice depends on your specific needs. This guide puts both carriers head-to-head to help you decide which is the best fit for your business.
FedEx – Overview
FedEx is based in the U.S, but it delivers all over Canada and other international destinations. It was founded on 5th May 1971 in Little Rock, Arkansas, United States. Started as a small delivery company, it now ships to all the world’s major locations.
Divisions of Operation
FedEx has two main divisions: FedEx Ground and FedEx Express (FedEx Air).
Shipping Services
FedEx is a great pick for merchants looking for fast and reliable deliveries across international borders dealing in large shipments. The best part about FedEx is that it delivers on all days of the week. Apart from shipping services, it also has packing and pickup facilities.
Tracking System
FedEx is one of the first shipping companies to introduce package tracking and real-time delivery updates. Its tracking system is one of the best in the industry, providing accurate information.
Pricing
FedEx international shipping rates are on the expensive side. So, if you are looking for affordable rates, this can make you rethink your decision.
Pros
- Excellent and accurate tracking system
- Delivers on all days of the week
- Good discounts and offers are available
Cons
- Expensive compared to other shipment companies
- No free pickup services
- Fewer locations
UPS – Overview
UPS, or United Parcel Service, was founded in 1907 and is based in the U.S. It is one of the largest shipping carriers globally and is listed under the Fortune 500. It actively ships to all parts of Canada and other international destinations, delivering an average of 5.5 billion packages every year.
Delivery Services
Its deliveries are fast and reliable. There are different delivery options available, including priority mail express. If your shipping needs are large and you need faster deliveries, this could be a suitable choice.
Global Presence
With top-notch delivery services worldwide, UPS remains one of the top shipping carriers. However, if you go by customer reviews, it is still struggling to establish a good track record in Canada.
Pros
- Guaranteed Express delivery for emergency shipments with same day or next day delivery
- Good tracking system
- Suitable for heavy shipments
Cons
- Can be expensive
- No free deliveries on Saturdays
- No free pickup facility
FedEx vs UPS – Updated Comparison 2025
Delivery Schedule
- FedEx – Delivers from Monday to Sunday from 9.00 a.m. to 8 p.m. It is the best choice if you ship on weekends
- UPS – Ships from Monday to Friday 9.00 a.m. to 7 p.m. Weekend delivery is only open to certain areas
Shipment Insurance
- FedEx – Automatic coverage of $100 per package. For additional coverage, declare the value of your goods
- UPS – Coverage of $100 for undeclared packages. For more coverage, declare the value of goods (up to $50,000)
Pickup and Drop-off Options
You can schedule a pickup by contacting the offices. Neither company offers free pickup. Drop-off is available at mail slots of their offices
Tracking Services
- FedEx – Provides accurate, up-to-date tracking information
- UPS – Reliable tracking system
Feature Comparison
| Feature | FedEx | UPS |
| Tracking System | Real-time tracking, user-friendly | Precise updates, better for ground shipping |
| Delivery Flexibility | FedEx Delivery Manager | UPS My Choice |
| Customer Support | 24/7 support via multiple channels | 24/7 support with account management for businesses |
| Customization | Flexible delivery scheduling | Reroute and hold options for customers |
Shipping Carrier Costs 2025 – A Detailed Analysis
Cost is the most crucial factor determining your affordability and compatibility with your shipping carrier. To simplify your understanding process, we have made a shipping cost comparison with the help of tables.
1. Flat Rate Packages
A flat rate means offering the same price for all types of shipments fitting in single packaging under a certain weight
- In 2025, FedEx’s One Rate® (its flat rate option) is still offered
- UPS offers Simple Rate flat rate packaging and speed options
However, the 2025 guides do not present a simple “Flat Rate under 50 pounds” table as in 2022. The carriers have moved toward size-based flat pricing under their services (One Rate, Simple Rate)
2. Ground Service
Both FedEx and UPS continue to offer ground services with competitive pricing
- For FedEx, 2025 surcharges and dimensional rules have been updated, including dimension-based additional handling and oversize criteria
- Ground delivery rates in 2025 are at record highs, up significantly from previous years
- UPS has introduced a 2025 General Rate Increase (GRI) averaging 5.9 % on its services, affecting ground, air, and international
Because both carriers use zone pricing, weight, dimensions, and surcharges, “starts at $/lb” simplistic tables are no longer published in the same way
3. Priority / Express Services
All companies still offer priority services for time-sensitive goods
- UPS 2025 rate guide includes numerous air / next day / 2nd day service tiers
- FedEx 2025 standard list rates include its express and time-definite services
- Both carriers’ 2025 rate changes (GRIs) apply to express services too
Again, you won’t find an updated simple “$31.18 for FedEx 2Day AM / $75.15 for UPS Next Day Air” table publicly in the same format as 2022
4. Lightweight / Small Packages
For very small or lightweight packages:
- UPS’s Simple Rate 2025 pricing starts (for extra small) around $9.45 in domestic U.S. zones
- FedEx One Rate has published 2025 pricing for its flat rate boxes under various service levels
These reflect updated structure rather than static weights like “under 12 ounces” in 2022
Summary
- In 2025, both FedEx and UPS have implemented rate increases (average ~5.9%) across many services
- Flat rate offerings continue (FedEx One Rate, UPS Simple Rate), but are now tied to box sizes and service tiers rather than a universal flat under 50 lbs
- Surcharges, dimensional criteria, and zone pricing play a larger role in 2025 than flat per lb starters
- Ground rates are especially elevated in 2025, reflecting rising costs and surcharge pressure
Service Types and Pricing Overview – 2025
| Service Type / Tier | FedEx (2025) | UPS (2025) |
| Flat Rate / Fixed-Box Options | FedEx One Rate (size-based flat pricing) | UPS Simple Rate (size-based flat pricing) |
| General Rate Increase (GRI) | ~5.9% increase across services in 2025 | ~5.9% increase across services in 2025 |
| Surcharges & Handling / Oversize | Additional Handling and Oversize rules updated (volume & weight criteria) | Additional Handling and Oversize charges increased |
| Residential Surcharge | Ground residential surcharge ~ $5.95 | Ground residential surcharge ~ $6.10 |
| Express / Priority Services | Priority Overnight and time-definite services (rates increased with GRI) | Next Day Air, 2nd Day Air, and other express services (rates increased with GRI) |
Domestic Shipment Price Comparison – Vancouver to Toronto (5 lb, 15×12×12 cm, Declared Value $5)
| Carrier | Shipping Service | Delivery Time | Price (CAD) |
| UPS | Standard | 5 business days at the end of the day | $60.39 |
| UPS | Expedited | 2 business days at the end of the day | $103.49 |
| UPS | Express Saver | Next business day at the end of the day | $109.34 |
| UPS | Express | Next business day at 10:30 AM | $127.26 |
| UPS | Express Early | Next business day at 9 AM | $148.95 |
| FedEx | Ground | 4 business days at the end of the day | $41.59 |
| FedEx | Economy | 3 business days at 8 PM | $89.60 |
| FedEx | 2Day (business days) | 2 business days at 8 PM | $108.99 |
| FedEx | 2Day (calendar days) | 2 calendar days at 8 PM | $143.88 |
| FedEx | Standard Overnight 8 PM | Next business day at 8 PM | $119.25 |
| FedEx | Standard Overnight 12 PM | Next business day at noon | $132.02 |
| FedEx | Standard Overnight 10 AM | Next business day at 10 AM | $162.30 |
International Shipment Price Comparison – Vancouver to London (5 lb, 15×12×12 cm, Declared Value $5)
| Carrier | Shipping Service | Delivery Time | Price (CAD) |
| UPS | Worldwide Expedited® | 4 business days | $150.74 |
| UPS | Worldwide Saver | 2 business days by end of day | $160.76 |
| UPS | Worldwide Express® | 2 business days at noon | $169.24 |
| UPS | Worldwide Express Plus® | 2 business days at 9 AM | $250.79 |
| FedEx | International Economy® | 4 business days at 6 PM | $263.81 |
| FedEx | International Priority® | 2 business days at 6 PM | $291.42 |
| FedEx | International Priority® Express | 2 business days at noon | $305.29 |
| FedEx | International First® | 2 business days at 9 AM | $420.62 |
Final Words
FedEx and UPS are both good courier companies in Canada. Both have advantages and disadvantages, which we had already listed out in this guide. The best carrier depends on your requirement, need, and affordability.
