Calgary’s Dustin Paisley complains about package shipping costs in popular TikTok video

It’s a problem that doesn’t seem to be going away anytime soon, and some Canadian producers are fed up with it.

Parcel shipping costs have risen dramatically over the past few years and it’s eating away at business profit margins.

Calgary clothing company Local Laundry is rethinking its shipping model thanks to what its owner calls “exorbitant” fees.

“It costs between $16 and $24 to ship domestically,” Dustin Paisley told CTV News. “But I can ship a package to New York or somewhere in the United States for almost half that price.”

Costs are particularly problematic for the local small business, which has been promising customers $10 shipping for years. This promise is currently being redesigned.

“What this shipping cost increase is just eating away more of our margin, which is already not the highest,” Paisley said.

The Calgarian recently went viral on social media app TikTok for a video in which he complains about tariffs. He says the thousands of comments he’s received from people who agree with his statements show that many Canadians are also upset with the current shipping model.

“Unfortunately, there aren’t a ton of options out there, so you’re stuck with the rates and options available to you,” Paisley said.

Canada Post declined an interview request from CTV News.

A statement from spokesperson Phil Legault reads in part “Parcel rates are unregulated and are fully competitive within the industry. Canada Post determines shipping rates based on several factors, including origin and destination, which also take into account population densities.”

The statement didn’t address recent price hikes, but shipping expert and Jori Logistics worker Sam Woods says there’s a reason it’s costing Canadians more to send packages.

“Trucking costs and all these inland costs are going up dramatically,” he said. “We’ve seen that fuel surcharge percentage go up three to four times what it was at this time last year.”

Woods suggests small businesses look to higher-volume shippers in Canada to make ordering easier. He thinks using air – not ground – transportation could save money.

He also pointed out that most businesses, like Canada Post, are driven by profit. A lack of competitiveness in the Canadian market leaves consumers and small producers with few options.

“For the average shipper, who doesn’t have a lot of buying power to negotiate many rates, they’re really at the mercy of the market,” Woods said.

“Given our dual mandate of remaining financially self-sufficient and providing affordable postal service to Canadians, we work hard to keep prices reasonable and competitive,” the Canada Post statement read.

Paisley thinks it’s not sustainable.

“I’m looking for other options,” he said. “It’s ridiculous right now.”

Comments are closed.