UPS plans to double RFID-labeled packages to 6 million daily in 2027
UPS aims to expand RFID package labeling to boost shipper visibility and automate operations in 2027.
UPS plans to increase the volume of RFID-labeled packages from customer locations to 6 million per day in 2027, according to Supply Chain Dive. This expansion is expected to enhance shipper visibility earlier in the transportation process, UPS CEO Carol Tomé said.
RFID technology is increasingly used throughout UPS' operations, reducing billions of manual package scans and improving productivity. Packages with RFID labels printed at customer sites receive automated scans at pickup, providing better tracking data for shippers.
UPS also applies RFID labels to packages dropped off at The UPS Store locations. The company projects delivering over 4 billion RFID-enabled packages by the end of 2026, reflecting significant growth in this technology's use.
UPS executives highlighted that RFID labeling attracts large U.S. enterprise retailers by offering inbound visibility to dock shipments, which helps optimize workforce allocation. This was noted by Matt Guffey, UPS EVP and chief U.S. domestic officer, during a 2025 earnings call.
The RFID expansion is part of UPS' broader effort to increase automation in its network. Tomé said nearly 70% of all UPS packages will be processed through automated systems in the fourth quarter of 2026, up from 66.5% at the end of 2025, improving efficiency ahead of peak holiday demand.
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