What are FedEx’s rate increases for 2025?

What are FedEx’s rate increases for 2025?

In September 2024, FedEx announced its General Rate Increase (GPI) of 5.9% effective January 6, 2025 on all of its shipping charges and special handling fees. Special handling fees are applied to a range of conditions, such as additional handling, oversize, and residential delivery. And those associated fees may differ between FedEx Express and FedEx Ground services. While the details may seem overwhelming, the following blog clearly outlines the major changes for the two services mentioned, so that you and your business are better prepared for 2025. And admittedly no one likes paying more for anything, however, savings are available when you engage the Canadian shipping broker Secureship. From Secureship’s bulk buying agreements with FedEx and others, you could save up to 50% on your shipping costs.

Table of Contents

• FedEx 2025 Express Service Fees
• FedEx’s Ground Service Fees in 2025
• Saving Shipping Costs with Secureship
• Conclusion

FedEx 2025 Express Service Fees

If you are a regular FedEx client who uses its Express Service for parcel deliveries, you will surely notice that prices have risen on both basic shipping costs and when special handling fees apply.

FedEx identifies nine special handling fees. The new 2025 prices of five of the more common and expensive ones are shown below.

Special Handling Fee	New 2025 Fee
Additional handling surcharge	$22.70 - $28.90 CAD/shipment
Out-of-delivery or pick-up area surcharge	Variable depending on location and weight1
Oversize charge	$109.502 CAD/shipment
Residential delivery surcharge	$4.65 CAD/shipment
Saturday pick-up and delivery	$26.50 CAD/shipment

1. For Tier B locations: 54¢/kg up to a max. of $27.10 CAD; Tier C locations: $4.08/kg to a max $120.80 CAD
2. For intra-Canada parcels delivered from 6 - 19 January, the charge is $159.50 CAD

FedEx’s Ground Service Fees in 2025

Like FedEx’s 2025 Express Service fees, its Ground Service special handling fees have also been hiked in the new year.

While some of the fees and their increases are the same as for the Express Service, there are a few differences overall as the following table shows:

Special Handling Fee	New 2025 Fee
Additional handling surcharge	$22.70/24.90/28.901 CAD per package
Oversize charge	$109.50 CAD/package
Unauthorized2 package	$1,195 CAD
Remote rural3 charge	$6.85/17.30/145 CAD/package
Saturday pick-up and delivery	$26.50 CAD/shipment

1. For packaging/dimensions/weight, respectively
2. A package heavier or larger than set limits
3. Fees vary based on the postal code, and if the package is heavier than 46 kg, $40.50 CAD will be added to the regular charge

Saving Shipping Costs with Secureship

Though inflation has increased shipping costs, there are ways to mitigate those expenses, and one of them is for Secureship to be your broker. Because of Secureship’s bulk buying agreement with FedEx (as well as Purolator and UPS), the base cost of shipping a parcel could be reduced by up to half of a courier’s retail rate.

And when you use Secureship’s shipping calculator, within a minute, our system produces at least half-a-dozen shipping options – a range of prices, delivery times, and savings – one of which is bound to suit your needs and budget.

Conclusion

For 2025, FedEx’s General Rate Increase is 5.9% on its basic shipping fee as well as on special handling fees, which is effective from the 6th of January of the new year. Handling fees are imposed for reasons like when a parcel requires additional handling, is bigger or heavier than set criteria, or if it is bound for a private residence or to a remote rural address. And while increased prices and the New Year go hand-in-hand, it is not welcome news. However, one piece of continuing good news is Secureship – for 17 years it has found its Canadian customers the cheapest shipping rates (saving its clients upwards of 50% with FedEx, Purolator, and UPS).