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Prepare Your Wallet: FedEx Demand Surcharges Are Here

Jul 15, 2025 · 2 minutes read

You've probably noticed the "holiday creep" in your local craft store or Target. The sulfurous tang of fireworks only just dissipated after the Fourth of July, but shops are stocking Halloween candy as if back-to-school doesn't even exist. Shops aren't the only ones skipping ahead.

Last year, FedEx announced its demand surcharges in August. This year, the carrier released its peak season rates on July 8. We'll take a deep dive into FedEx's 2025 demand surcharges— when they take effect, what you can expect, and whether it's possible to reduce them.

When Do These Charges Take Effect?

In 2025, the surcharges will commence on September 29 and October 27 and will end on January 18, 2026. For reference, last year, FedEx demand surcharges began on September 30 and October 28 and ended on January 19, 2025.

What Are the 2025 FedEx Demand Surcharges, and How Do They Differ From 2024?

FedEx announced the latest increases on its website, saying, "As FedEx prepares for high demand during the holiday shipping season, we are implementing the following Demand Surcharges and fees to continue providing our customers with the best possible service."

Demand surcharges in 2024 ranged from $0.30 to $3.15 per package. This year, the surcharge ranges from $0.40 to $3.55, depending on the timeframe and service selected.

In addition to the demand surcharges, you may also be affected by these surcharges:

● Additional handling surcharge: $8.25 - $10.90 per package
● Oversize charge: $90 - $108.50 per package
● Ground unauthorized package charge: $490 - $545 per package

What's New for Enterprise-Level Customers?

If you're an enterprise-level customer that ships more than 20,000 residential and FedEx Ground Economy packages per week, a peaking factor will determine your demand residential charge per package. With a baseline established between June 2 and June 29, 2025, customers can expect demand residential charges ranging from $1.55 to $8.75 per package. FedEx will monitor volume for calculation two weeks before the application period (e.g., FedEx will calculate shipping volume from October 6 to 12 and apply the surcharge from October 27 to November 2).

FedEx clarifies that it will add this demand residential delivery charge on top of existing residential delivery charges and notes that "any contracted discount or cap the customer may have on the Residential Delivery Charge will not apply to the Demand – Residential Delivery Charge."

Is It Possible to Reduce These Charges?

Despite FedEx's language suggesting otherwise, it is absolutely possible to reduce your spend, even during peak season. With ShipRx parcel negotiations, you can renegotiate your contract at any time, lowering your base rate and even reducing the amount you owe for demand surcharges.

Sign up for a free savings analysis today, and trust the team that has a 100% success rate in lowering contracted rates. Most clients see savings of 20-30% or more, as ShipRx negotiates, structures, and continually evaluates your FedEx parcel contract to help you maximize your savings.

Demand surcharges are just a few months away. What will you do between now and then to reduce that expenditure?

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James Founding Partner