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Dive Brief:
- FedEx unveiled its 2026 peak season surcharges on Wednesday, which will drive up costs for deliveries amid the holiday shipping rush.
- The charges are higher than last year’s fees and apply over roughly the same time period, with all surcharges active by Oct. 26 and running until Jan. 17, 2027. The amount of each peak season surcharge depends on the date, with prices peaking from Nov. 23 to Dec. 27.
- FedEx said on its website that it applies demand surcharges during times of elevated volumes, heightened demand for capacity and higher operating costs. The company added that the added fees will help it “continue to provide customers with the best possible service” during the busy holiday season.
FedEx 2026 peak season surcharges
| Fee name | Services affected | Peak surcharge range per package | Effective dates |
|---|---|---|---|
| Additional Handling Surcharge | U.S. Package Services, FedEx International Ground shipments | $8.80 to $11.85 |
Sept. 28-Jan. 17, 2027 |
| Oversize Charge | U.S. Package Services, FedEx International Ground shipments |
|
Sept. 28-Jan. 17, 2027 |
| Ground Unauthorized Package Charge | FedEx Ground, FedEx Home Delivery, FedEx International Ground shipments |
|
Sept. 28-Jan. 17, 2027 |
| Demand Surcharge | FedEx First Overnight, Priority Overnight, Standard Overnight (excluding FedEx One Rate packages) |
|
|
| Demand Surcharge | FedEx 2Day A.M., FedEx 2Day, FedEx Express Saver (exclusing FedEx One Rate packages) |
|
|
| Demand Surcharge | FedEx Ground residential shipments, FedEx Home Delivery residential shipments |
|
|
| Demand Surcharge | FedEx Ground Economy Package Services |
|
|
| Demand — Residential Delivery Charge* | Ground, Home Delivery, First Overnight, Priority Overnight, Standard Overnight, 2Day, 2Day A.M., Express Saver (excluding FedEx One Rate packages) |
|
|
*Applies to enterprise-level customers who ship more than 20,000 residential and Ground Economy packages, with the price based on how much their volume deviates from their shipping activity during the June 1 to June 28 period.
Dive Insight:
The largest jumps in FedEx’s peak fees compared to last year are concentrated in lower-cost, high-activity segments like Ground Residential and Ground Economy, which will “compound quickly across e-commerce parcel volume,” according to a ShipScience analysis. For example, demand surcharges for Ground Residential shipments will peak at $0.80 per package during the holidays compared to $0.65 last year, a 23% increase.
FedEx has been vocal this year about its decreased interest in pursuing general e-commerce volume — which typically surges during the holidays — instead prioritizing more profitable segments like healthcare.
Still, the holidays remain a crucial period for FedEx and the retail and e-commerce shippers it serves, with 2025 being the carrier’s most profitable peak season ever. In February, EVP and Chief Customer Officer Brie Carere called peak season surcharges “a win-win” for that customer segment and FedEx.
“It lets them sell at Christmas and it allows us to bring on the resources profitably to do that,” Carere said during the company’s 2026 Investor Day.
The carrier’s announcement comes at a time of climbing shipping costs for FedEx and UPS customers, exacerbated by elevated fuel fees. To limit the sting of holiday surcharges, shippers should negotiate for discounts, incentivize consumers to buy earlier and explore alternative carrier options, parcel pricing experts told Supply Chain Dive last year.
UPS has also implemented peak season fees over the past several years. The carrier hasn’t yet unveiled its 2026 holiday surcharges as of Thursday.
