Why It Matters

UPS faces converging supply chain vulnerabilities and regulatory transitions threatening operational efficiency. Cargo theft has surged 1,500% since early 2021, with annual losses estimated at $15-35 billion, creating urgent demand for federal enforcement tools like the Combating Organized Retail Crime Act. The elimination of de minimis duty exemptions creates customs infrastructure gridlock without streamlined processing systems—making modernization legislation critical. These threats combine with longer-term challenges: sustainable aviation fuel capacity has tripled but remains uneconomical without tax incentives, while aggressive USPS expansion intensifies competitive pressure.

By the Numbers

United Parcel Service of America Inc. (UPS) spent $1.3 million on in-house lobbying in Q3 2025, deploying an 11-member internal team. The company has maintained continuous lobbying presence since August 2003, with 765 total disclosures filed over two decades.

Key team members include Andrew Okuyiga, who served nearly eight years on Capitol Hill including as Professional Staff Member on the House Transportation and Infrastructure Committee, and Jay J. Lim, former Investigative Counsel for the Senate Judiciary Committee and Counsel for Sen. Susan Collins (R-ME). Notably, Okuyiga previously worked for Amazon Corporate LLC, providing competitor insight.

The Agenda

UPS is lobbying on four primary legislative areas. The company is pushing passage of the Combating Organized Retail Crime Act (CORCA) to combat surging cargo theft. UPS is advocating for the Renewable Natural Gas Incentive Act and sustainable aviation fuel tax incentives supporting fleet decarbonization. The company is lobbying on customs modernization and the Medical Supply Chain Resiliency Act to streamline cross-border trade. UPS is also engaged on FAA modernization and air traffic control improvements.

Broader Context

Congress is actively moving legislation addressing UPS’s core operational challenges. Organized criminal networks have increased theft incidents by 1,500% since early 2021, with average losses exceeding $202,000 per incident. The Combating Organized Retail Crime Act has bipartisan support and is UPS’s most time-sensitive lobbying target.

The administration’s elimination of de minimis duty exemption in April 2025 subjects shipments under $800 to duties and full customs processing. Without modernized systems, this creates massive border congestion risks. UPS’s lobbying on the Customs Facilitation Act of 2025 has become urgent infrastructure advocacy.

U.S. sustainable aviation fuel production capacity has roughly tripled to 30,000 barrels daily, yet represents less than 2% of jet fuel consumption. Production economics remain dependent on government incentives.

Between The Lines

The Combating Organized Retail Crime Act has gained bipartisan momentum, with the Senate Commerce Committee holding hearings documenting annual cargo theft losses between $15-35 billion. Senator Todd Young (R-IN) has publicly championed the measure.

On sustainable fuels, the Renewable Natural Gas Incentive Act of 2025 enjoys broad bipartisan sponsorship from Rep. Brian Fitzpatrick (R-PA) and Rep. Linda Sánchez (D-CA). The Customs Facilitation Act proposes streamlined import/export processing—particularly urgent following de minimis exemption elimination.

Competitive Landscape

UPS operates within a crowded advocacy space where priorities overlap with competitors like FedEx and Amazon. Industry associations including the American Trucking Associations dominate cargo theft and infrastructure issues. On cargo theft prevention, UPS joins a powerful coalition of retailers and manufacturers victimized by organized retail crime. The International Brotherhood of Teamsters represents UPS’s largest workforce cohort, creating potential coordination on multiemployer pension policy.

The Bottom Line

UPS’s $1.3 million Q3 2025 lobbying spend reflects industry-wide challenges rather than isolated corporate interests. The company’s priorities align with genuine Congressional momentum on cargo theft prevention, customs modernization, and sustainable fuel incentives. With experienced Capitol Hill veterans leading key relationships and bipartisan support for core legislation, UPS is well-positioned to influence policy outcomes affecting the logistics industry’s operational future.

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