DAS ZIP codes are changing at FedEx
Effective June 1, 2025, FedEx will update the list of ZIP codes impacted by its Delivery Area Surcharge (DAS). This change will affect businesses that ship to residential and remote commercial areas, potentially increasing last-mile delivery costs across thousands of destinations in the U.S.
For shippers, the DAS isn’t just a small fee—it’s a recurring cost that adds up quickly, especially for high-volume eCommerce and B2C operations. Understanding how this update impacts your shipping footprint is crucial to maintaining profit margins and customer satisfaction.
What Is the Delivery Area Surcharge (DAS)?
The DAS is an additional fee FedEx applies to packages delivered to ZIP codes considered outside standard delivery zones—typically rural, suburban, or less densely populated areas. These surcharges compensate for the extra time, distance, or resources required for final-mile delivery.
There are two primary types of DAS:
- Residential Delivery Area Surcharge – Applied to home deliveries in DAS-designated ZIPs
- Commercial Delivery Area Surcharge – Applied to businesses located in remote or hard-to-reach ZIPs
What’s Changing on June 1?
FedEx is expanding and revising its DAS ZIP code list. While some ZIP codes may be removed, most updates tend to add new ZIPs to the surcharge zone—especially in growing suburban and exurban areas where population density has not yet met FedEx’s threshold for standard rates.
This means more packages—especially in fast-growing states like Texas, Florida, North Carolina, and Arizona—may now incur extra fees on top of standard shipping costs.
How This Impacts Parcel Shippers
Depending on your shipping profile, these changes could have a significant cost impact across your operations:
- Higher average shipping costs for eCommerce companies delivering to suburban/rural homes
- Reduced profit margins for businesses offering free or flat-rate shipping
- Budgeting challenges for organizations with static shipping allowances or annual contracts
- Increased complexity in managing rate tables and shipping rules within WMS and order platforms
What Should Shippers Do?
Proactive shippers can take the following steps to minimize the financial impact of the June 1 changes:
- Audit your destination ZIP codes to identify newly impacted areas
- Review current DAS-related spend and build forecasts based on the updated ZIP list
- Negotiate DAS discounts with FedEx or contact a professional consultant to assist
- Explore regional or postal delivery alternatives with fewer or no delivery surcharges
- Offer in-store pickup or delivery to commercial locations to reduce residential DAS exposure
How Can We Help You?
At ebb Logistics, we specialize in helping parcel shippers navigate rate changes, surcharge increases, and carrier negotiations. Our team can help you:
- Analyze your ZIP code shipping data against the updated FedEx DAS list
- Estimate the projected increase in surcharge costs
- Identify carrier alternatives or hybrid models to reduce DAS impact
- Negotiate revised terms with FedEx or integrate technology for intelligent routing
Don’t wait for surcharges to eat away at your margins. Contact ebb Logistics today to evaluate your shipping profile and develop a customized strategy to minimize the impact of the June 1 DAS update.
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