Additional Handling Surcharge surges to over 21%
FedEx announced their 2024 General Rate Increase on August 29th to be Effective January 1, 2024.
Overall, FedEx Ground, Home Delivery, Express, and WW International rates will increase an average of 5.9%.
Slightly lower than 2023 increase of 6.9%. Accessorials, fees, and surcharges will take another hit in 2024 with
increases ranging from 5.4% to over 21%. Ground Economy and Ground Multi-Weight rates have not been
announced. We will continue to monitor for updates and relay any changes to our clients as soon as information
All increases are based on “service level” averages. Additional changes in fees and surcharges will vary based on
individual characteristics and product mix. Let’s break it down in more detail...
The 1 LB Zone 2 rate (Ground Minimum charge) will increase 5.94%, up from $10.10 to $10.70.
Slightly lower than last year’s increase of 7.91%.
Lightweight packages (1-10 LB range) will experience increases ranging from 4.80%-6.04%. Heavier Packages (10+
lbs.) will see slightly higher increases at 5.8%-7.6%. Increases appear to be evenly distributed Zones 2-8
Let’s look at an example: 1 LB, Zone 8, Home Delivery package to a rural destination.
2023: $23.19: Base rate ($12.74), HD Surcharge ($5.15), DAS ($5.30), ***FSC excluded
2024: $24.63: Base rate ($13.38), HD Surcharge ($5.55), DAS ($5.70), ***FSC excluded
An increase of 6.20% for the same package 2024 vs 2023!
EXPRESS & INTERNATIONAL
Priority Overnight and Standard Overnight shorter zone packages will see increases averaging 7.4%-7.9%.
Longer zones will see slightly lower increases averaging closer to 6.40%.
Two Day Air increases will range from 5.40%-7.90%. Application of increases appear slightly lower in shorter
zones (2-4) vs longer zones (5-8).
Express Saver will increase approximately 6.39%, while longer zones (305-308) will incur closer to a 7.9%
FedEx International Priority will see increases (averaging 6.29%) while FedEx International Economy Import
services will see increases (averaging 4.70%-7.55%). Impact of these changes will depend on zone/product.
KEY ACCESSORIAL CHANGES
• Additional Handling: Increases will depend on both element and zone:
- AHS via Dimension (18.92%-20.0%)
- AHS via Weight (18.92%-20.83%)
- AHS via Packaging (18.18%-21.05%)
• Address Corrections:
- Increase an additional $1.50, 7.10% up to $22.50 per occurrence.
• Oversize Charges:
- Ground/Express packages will incur additional increases ranging from 18.52% to 20.59%.
- Home Delivery packages won’t fare much better with increases ranging from 18.75% to 20.05%.
• Delivery Area Surcharge: Increases across the board.
- DAS Commercial: Increases 6.80%-8.90%.
- DAS Home Delivery: Increases 5.40%- 8.40%.
• Home Delivery Residential Surcharge:
- Increases 7.80% from $5.15 to $5.55.
• Express Residential Surcharge:
- Increases 6.00% from $5.80 to $6.15.
• Ground Unauthorized Package Charge:
- Increases 8.70% from $1,150 to $1,250.
For additional details or no cost cell by cell rate impact analysis, please contact AFMS at (800) 246-3521 or email
us at email@example.com.