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UPS Demand Surcharges 2025: Peak Season Update

Stay ahead this holiday season. See UPS demand surcharges for 2025, including Additional Handling, Large Packages, and Air/Ground increases.

Published on September 17, 2025

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What Is a Demand Surcharge?

A demand surcharge is an extra fee carriers like UPS apply during peak shipping seasons when package volumes surge. These charges are added on top of standard rates to cover the increased cost of moving packages during high-demand periods. They typically apply to oversized shipments, residential deliveries, or shippers that exceed certain weekly volumes.

Why UPS Demand Surcharges Matter

Peak season brings increased shipping volume and tighter carrier capacity, and UPS once again has announced its 2025 demand surcharges. These charges apply on top of standard shipping rates and can have a big impact on brands shipping large, heavy, or high-volume packages during the holidays.

Understanding these surcharges is critical for controlling costs, planning inventory, and setting accurate customer expectations. If you want to compare trends, you can review last year’s UPS demand surcharge update and our general guide on UPS surcharges for reference.

2025 UPS Demand Surcharge Periods

UPS divides its surcharge schedule into three demand periods for the 2025 peak season:

    September 28 – November 22, 2025

    November 23 – December 27, 2025

    December 28, 2025 – January 17, 2026

Each period has different surcharge amounts depending on package type and volume.

Surcharges for Additional Handling, Large Packages, and Over Maximum

    Additional Handling: $8.25 per package early in the season, rising to $10.80 during the busiest period, before returning to $8.25.

    Large Package Surcharge: $90.50 per package, peaking at $107 between late November and late December.

    Over Maximum Limits: $485 per package, peaking at $540 mid-season.

Oversized Shipping with UPS

UPS’s oversized surcharges are among the steepest costs shippers face. Large Package fees reach $107 at peak, while Over Maximum packages jump to $540 each. If your business regularly ships bulky items like furniture, bikes, or fitness equipment, see our guide on shipping oversized items with UPS to plan ahead.

These categories hit shippers of oversized or heavy products hardest — from furniture and fitness equipment to e-bikes and appliances. For more context, see our guide on shipping oversized items with UPS, and check our article on demand fulfillment strategies to see how to handle these challenges efficiently.

Surcharges for Air and Ground Services

UPS is also applying surcharges to Air, Ground Residential, and Ground Saver packages:

    $0.40 per package in the early and late periods.

    $0.60 per package during the busiest window.

    Air surcharges rise from $1.10 to $2.05 during the November–December peak.

These charges may seem small per package but can add up significantly for high-volume ecommerce brands. Our 7 must-do tips for peak season can help you prepare.

Higher Volume Shipper Surcharges

If you ship more than 20,000 packages in a week, UPS applies an additional tiered surcharge based on your shipping volume relative to your baseline.

    At 105–125% of baseline, rates can more than double.

    At 300–400% of baseline, surcharges jump even higher.

    Above 400% of baseline, expect the steepest costs — up to $7.50 per package for Ground Saver and $8.75 for Air Residential.

These surcharges incentivize businesses to spread volume, plan early, and avoid clustering too many shipments into peak weeks.

How UPS Compares to FedEx and USPS

UPS is not alone — both FedEx demand surcharges and USPS peak season fees have been announced for 2025. Reviewing all three helps ecommerce brands compare costs and build a balanced shipping strategy across carriers.

How 3PL Center Can Help

At 3PL Center, we help our customers reduce peak season costs by:

By leveraging our nationwide warehouses and strong carrier relationships, we can help you ship smarter and control costs during the busiest season of the year.

Final Takeaway

UPS’s 2025 demand surcharges will affect every brand — especially those shipping oversized or high-volume orders. By planning ahead, diversifying carriers, and working with the right fulfillment partner, you can minimize costs and keep your customers happy this holiday season.

👉 Ready to avoid peak season headaches? Contact 3PL Center today for a quote.