2025 peak season surcharges

As your ecommerce brand prepares for the holiday rush, managing peak season expenses is crucial, especially regarding shipping surcharges. These extra fees, imposed by parcel carriers during the busiest times of the year, can catch business owners off guard and affect profit margins.

At a high level, peak season surcharges are a form of seasonal adjustment used by carriers to align prices with increased demand and operational costs during the busiest shipping periods.

Here at Saltbox, we recognize the specific hurdles that small to midsize ecommerce brands face during peak season, and we’re committed to providing valuable insights to help you navigate these expenses while maintaining smooth and efficient fulfillment. Keep reading to understand holiday shipping surcharges, the fees imposed by major parcel carriers when self-shipping, and strategies to help you minimize these additional costs.

Understanding peak season surcharges: What are they?

During peak shipping seasons, parcel carriers such as FedEx, UPS, and the U.S. Postal Service (USPS)—the federal agency overseeing mail delivery and pricing—implement surcharges and additional fees to handle increased demand and cover rising operational expenses. These charges depend on factors like package size, weight, and destination. Below is an overview of common types of surcharges you might encounter:

• Additional handling and oversize surcharges: For packages that exceed certain size or weight limits, carriers apply extra fees.
• Residential delivery surcharges: Delivering to residences often incurs additional costs due to increased traffic and handling time.
• Fuel surcharges: Changes in fuel prices lead to fluctuating surcharges, which are especially impactful for longer-distance or heavier shipments.

Carriers are creating new pricing strategies and service enhancements to better manage peak season demand. For example, a USPS Ground Advantage package shipped during the holiday peak season may incur a demand surcharge, increasing the total shipping cost compared to non-peak periods.

For ecommerce brands working with tight profit margins, these charges can quickly accumulate. However, by adopting a strategic and proactive approach, businesses can effectively reduce the impact of these expenses.

How to avoid surcharges

By opting for adaptable warehousing solutions like Saltbox, you’re proactively simplifying your logistics and keeping fulfillment costs in check. Here’s how you can utilize our logistics services and tools to efficiently ship products during the 2025 holiday season:

• Optimize package sizes: With logistics services such as in-suite pick and pack, Saltbox members can ensure their orders are packaged efficiently, reducing the likelihood of oversized package fees. Our team can assist in configuring package dimensions to avoid unnecessary charges.
• Leverage regional shipping options: Shipping with regional carriers offers significant advantages—think lower rates, faster delivery times, and often reduced or no peak surcharges compared to national carriers. While some emerging or non-national carriers may apply peak season surcharges, the strength of Saltbox’s shipping platform partner Parsel lies in carrier diversity, helping you find the lowest available rates across multiple providers.Parsel’s intuitive app calculates shipping costs and automates shipping workflows for you, saving you hours and time on every shipment.

A breakdown of 2025 peak season surcharges by carrier

Navigating the 2025 peak season surcharges requires a clear understanding of how each major carrier is adjusting its pricing. The Postal Service is implementing a demand surcharge on priority mail express and priority mail services, affecting both retail and commercial customers. These surcharges are designed to offset the increased costs of handling and delivering a higher volume of packages during the holiday season.

FedEx and UPS are also rolling out peak season surcharges, with rates that vary depending on factors such as shipping zone, package weight, and shipment type. While the USPS is applying flat rate increases to certain services, FedEx is opting for percentage-based surcharges on its rates. These adjustments will be in effect from October 5, 2025, through January 18, 2026, and will apply to a wide range of services and users.

To stay ahead in the shipping market, businesses should regularly review the latest surcharge details and rates on each carrier’s website or reach out to customer support for clarification. Being proactive about understanding which surcharges apply to your shipments can help you minimize the impact on your shipping costs and make informed decisions about your holiday season logistics. For the most up-to-date information, users are encouraged to visit the Postal Service’s website and those of other carriers to review the full schedule of peak season surcharges and rates.

FedEx 2025 peak season shipping rate increases

Compared to last year, the 2025 surcharges reflect increases in certain categories, especially during the peak holiday period. Notably, FedEx has adjusted its surcharge policy for 2025 by raising the Additional Handling Surcharge and Oversize Charge during the busiest weeks.

Increased demand and ongoing operational challenges have contributed to these adjustments in FedEx's peak season surcharges.

How to estimate your shipping expenses: Utilize FedEx’s shipping rates calculator to forecast your shipping costs during the peak season. The surcharges are scheduled to take effect on the specific dates outlined in the tables below.

1. FedEx standard demand and fuel surcharges

Services affected (at a glance):

FedEx Ground residential shipments
FedEx Home Delivery residential shipments
FedEx First Overnight
FedEx Priority Overnight
FedEx Standard Overnight
FedEx 2Day A.M.
FedEx 2Day
FedEx Express Saver
FedEx Ground Economy Package Services
FedEx Ground
FedEx Home Delivery
FedEx International Ground
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Data sourced from FedEx. For more information on demand surcharges, see section titled “Demand surcharges for U.S. domestic services – Updated July 8, 2025: U.S. package Demand Surcharges." *For more information on fuel surcharges, see FedEx's weekly fuel surcharge tables.

2. FedEx additional demand surcharges

Services affected (at a glance):

U.S. Package Services
FedEx International Ground Shipments
FedEx Ground
FedEx Home Delivery
FedEx International Ground Shipment
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Data sourced from FedEx. For more information on demand surcharges, see section titled “Demand surcharges for U.S. domestic services – Updated July 8, 2025: U.S. package Demand Surcharges."

USPS holiday shipping surcharges

The temporary price changes for the 2025 holiday season are pending approval by the Postal Regulatory Commission. The USPS Board of Governors is responsible for authorizing these temporary rate adjustments, and the USPS has filed an official notice with the Postal Regulatory Commission regarding the proposed surcharges.

These seasonal price adjustments specifically apply to the postal service's retail parcel services during the holiday period. Certain challenges, such as increased demand and capacity constraints, remain persistent throughout the peak season. Despite these challenges, the USPS aims to provide delivery services at least six days a week, even during the busy holiday season.

How to estimate your shipping expenses: Use the USPS Retail Postage Price Calculator to estimate your shipping costs during the 2025 peak season surcharge period.

1. USPS temporary price change for the 2025 holiday season: By zone

Dates effective: Midnight Central on October 5, 2025 through midnight Central on January 18, 2026.
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Read USPS's official announcement for more information.

2. USPS temporary price change for the 2025 holiday season: Flat rates

Dates effective: Midnight Central on October 5, 2025 through midnight Central on January 18, 2026.
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Read USPS's official announcement for more information.

Coming soon: UPS 2025 peak season surcharges

UPS has not yet released its list of surcharges for the 2025 holiday season. Check back in the coming weeks for updates.

Proactive planning tips for a surcharge-savvy peak season

Effective preparation is essential to keep your shipping expenses in check during the holiday rush. Saltbox suggests the following strategies to help you stay ahead:

• Audit your shipping costs: Use historical data from previous peak seasons to identify common surcharge triggers. Saltbox members can also leverage our logistics expertise to predict which surcharges may apply based on their specific shipping patterns.
• Communicate with customers: Transparency goes a long way. Be upfront with customers about potential shipping delays or fees during the holiday season. By adjusting your checkout options to reflect real-time carrier rates, you can pass on some of these costs without risking surprise expenses.

For more expert shipping tips, explore our latest insights in Mastering holiday shipping: Proven strategies for peak season success.

Ready to take control of your peak season?

The holiday rush can be intense, but Saltbox offers dedicated resources to help you navigate it smoothly. Our 2025 Holiday Hub and on-demand in-suite pick and pack services provide the flexibility and dependability you need during this busy season. Plus, with experts available on-site, we're prepared to assist you with any peak season logistics challenges that arise.

If you’re not yet part of the Saltbox community and want to discover how flexible warehousing can support your cost management and growth, schedule a tour at one of our 11 U.S. locations today. Space is filling up fast, so get it before the rush hits. Let's make this holiday season your most successful one yet!