Demand surcharges
Demand surcharges
Demand surcharges
Updated Oct. 11, 2024
During times of elevated volumes, high demand for capacity, and increased operating costs across our network, FedEx will implement Demand surcharges. Demand surcharges are determined for each market based on regular assessments of shipment volume and capacity within our network to accommodate.
Demand surcharges for U.S. domestic services
As FedEx prepares for high demand during the holiday shipping season, we are adjusting our networks to best deliver for our customers. We again anticipate the surge in volume to carry over into the new year.
To continue providing our customers with the best possible service, we are implementing the following Demand Surcharges and fees.
Surcharge name |
Applicable services |
Surcharge amount |
Effective date |
| Demand — Additional Handling Surcharge1 | U.S. Package Services, FedEx International Ground Shipments | $3.45 per package $7.75 per package $10 per package $7.75 per package |
Feb. 5–Sept. 29, 2024 Sept. 30–Nov. 24, 2024 Nov. 25–Dec. 29, 2024 Dec. 30, 2024–Jan. 19, 2025 |
| Demand — Oversize Charge1 | U.S. Package Services, FedEx International Ground Shipments | $39.50 per package $84.50 per package $100 per package $84.50 per package |
Feb. 5–Sept. 29, 2024 Sept. 30–Nov. 24, 2024 Nov. 25–Dec. 29, 2024 Dec. 30, 2024–Jan. 19, 2025 |
| Demand — Ground Unauthorized Package Charge1 | FedEx Ground, FedEx Home Delivery, and FedEx International Ground Shipments | $450 per package $500 per package $450 per package |
Sept. 30–Nov. 24, 2024 Nov. 25–Dec. 29, 2024 Dec. 30, 2024–Jan. 19, 2025 |
| Demand Surcharge | FedEx First Overnight,® FedEx Priority Overnight,® FedEx Standard Overnight,® FedEx 2Day® A.M., FedEx 2Day,® FedEx Express Saver® (excluding FedEx One Rate packages)2 | $1 per package $2 per package $1 per package |
Oct. 28–Nov. 24, 2024 Nov. 25–Dec. 29, 2024 Dec. 30, 2024–Jan. 19, 2025 |
| FedEx Ground residential shipments and FedEx Home Delivery residential shipments2 | $0.30 per package $0.55 per package $0.30 per package |
Oct. 28–Nov. 24, 2024 Nov. 25–Dec. 29, 2024 Dec. 30, 2024–Jan. 19, 2025 |
|
| FedEx Ground® Economy Package Services3 | $1.90 per package $3.15 per package $1.90 per package |
Oct. 28–Nov. 24, 2024 Nov. 25–Dec. 29, 2024 Dec. 30, 2024–Jan. 19, 2025 |
1See the FedEx Service Guide for the criteria and characteristics of these surcharges.
2The Demand Surcharge assessed on these services is separate and distinct from the Demand Surcharge in effect for certain international and FedEx Ground Economy shipments. Any existing contractual discounts or waivers a customer may have on international and FedEx Ground Economy services will not apply to the Demand Surcharge going into effect for shipments tendered on or after August 15, 2024, using these services.
3FedEx Ground Economy is a contract-only service.
Demand — Residential Delivery Charge
Demand — Residential Delivery Charge will adjust dynamically each week. During each calculation week (defined below), customer’s shipping volume and peaking factor will be calculated based on the formula set forth below to determine the surcharge amount applied for the corresponding application week (defined below). A two-week lag will apply between the shipping activity calculation and the surcharge application. See the table below for all calculation weeks and application weeks.
Additional Demand Residential Delivery Charge information:
“Calculation week” is the week during which customer’s shipping volume is calculated. “Application week” is the week during which the surcharge is applied based on the corresponding calculation week.
For customers at the enterprise level who ship more than 20,000 residential* and FedEx Ground Economy packages (total for U.S. domestic shipments) during a calculation week, the Demand — Residential Delivery Charge will apply for the corresponding application week. The Demand – Residential Delivery Charge will be assessed in addition to the Residential Delivery Charge and any contracted discount or cap the customer may have on the Residential Delivery Charge will not apply to the Demand – Residential Delivery Charge.
The amount charged per package during the application week will be based on a peaking factor, reflected as a percentage increase in the chart below, which is determined by dividing the residential* and FedEx Ground Economy packages shipped during the corresponding calculation week by the weekly average residential* and FedEx Ground Economy packages shipped June 3, 2024-June 30, 2024, and then multiplying by 100. Peaking factor and amount charged are determined based on the type of U.S. package service.
For purposes of calculating weekly volume during any calculation week that contains a holiday, weekly package volume will be adjusted to account for the one fewer operating day by multiplying the volume tendered during the week by 5 and then dividing by 4. For example, if a customer’s weekly volume tendered is 10,000 packages, simply multiply 10,000 by 5, then divide that number by 4 to calculate the weekly volume during a calculation week.
*Excludes FedEx One Rate packages
| Demand — Residential Delivery Charge per Package by Peaking Factor | ||||||
|---|---|---|---|---|---|---|
| >105% –125% |
>125% –150% |
>150% –200% |
>200% –300% |
>300% –400% |
>400% | |
| FedEx Ground, FedEx Home Delivery services |
$1.45 | $2.10 | $2.40 | $2.95 | $5 | $7.10 |
| FedEx First Overnight,® FedEx Priority Overnight,® FedEx Standard Overnight,® FedEx 2Day® A.M., FedEx 2Day,® FedEx Express Saver® (excluding FedEx One Rate packages) |
$2.60 | $3.25 | $3.55 | $4.10 | $6.15 | $8.25 |
2024-2025 Demand–Residential Delivery Charge calculation weeks/application weeks schedule
| Peaking period |
Calculation Week | Application Week | ||
| 1 | October 7, 2024 | October 13, 2024 | October 28, 2024 | November 3, 2024 |
| 2 | October 14, 2024 | October 20, 2024 | November 4, 2024 | November 10, 2024 |
| 3 | October 21, 2024 | October 27, 2024 | November 11, 2024 | November 17, 2024 |
| 4 | October 28, 2024 | November 3, 2024 | November 18, 2024 | November 24, 2024 |
| 5 | November 4, 2024 | November 10, 2024 | November 25, 2024 | December 1, 2024 |
| 6 | November 11, 2024 | November 17, 2024 | December 2, 2024 | December 8, 2024 |
| 7 | November 18, 2024 | November 24, 2024 | December 9, 2024 | December 15, 2024 |
| 8 | November 25, 2024 | December 1, 2024 | December 16, 2024 | December 22, 2024 |
| 9 | December 2, 2024 | December 8, 2024 | December 23, 2024 | December 29, 2024 |
| 10 | December 9, 2024 | December 15, 2024 | December 30, 2024 | January 5, 2025 |
| 11 | December 16, 2024 | December 22, 2024 | January 6, 2025 | January 12, 2025 |
| 12 |
December 23, 2024 | December 29, 2024 | January 13, 2025 | January 19, 2025 |
Due to elevated volumes, high demand for capacity, and increased operating costs across our network, FedEx Freight implemented the Demand Surcharge on July 5, 2021, and revised the surcharge on Sept. 27, 2021.
To provide our customers with the best possible service during this challenging time, the number of ZIP codes listed below for FedEx Freight will be reduced effective Jan. 17, 2022.
| Surcharge name | Applicable services | Surcharge amount | Effective date |
|---|---|---|---|
| Item 380 - Demand Surcharge Tier 1 | FedEx Freight Priority FedEx Freight Economy |
$30.00 per shipment | Jan. 17, 2022, until further notice |
| Item 380 - Demand Surcharge Tier 2 | FedEx Freight Priority FedEx Freight Economy |
$45.00 per shipment | Jan. 17, 2022, until further notice |
| Item 380 - Demand Surcharge Tier 3 | FedEx Freight Priority FedEx Freight Economy |
$75.00 per shipment | Jan. 17, 2022, until further notice |
These charges will be in addition to all other lawful charges and will be collected from the Payor of the freight charges.
Demand Surcharge for U.S. international services
Due to changes in market conditions, FedEx will be reinstating the Demand Surcharge for specific zones applicable to U.S. international services effective Aug. 5, 2024. FedEx reserves the right to reassess and/or reinstate the Demand Surcharge at its sole discretion.
FedEx continues to make adjustments within our network to best deliver for our customers. The following documents reflect the most up to date Demand Surcharge information for U.S. international services.
View U.S. export Demand Surcharge
View U.S. import Demand Surcharge
If you're looking for information on international surcharges by location, you can explore our global FedEx locations page. Select from the list of countries, and you'll be directed to that country’s local home page.
On the local home page, you can find information about local shipping rates and surcharges. Can’t find what you’re looking for? Try using the search bar on the website or contacting FedEx customer support for assistance.
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