FedEx and TNT Impose New Demand Surcharges on Shipments To and From Israel—India, UAE, South Africa Among Key Markets Impacted

FedEx and TNT have announced the introduction of a new Demand Surcharge on all shipments to and from Israel, effective June 30, 2025. This move comes as both companies adjust their networks to manage increased operational costs and capacity constraints amid ongoing regional disruptions in the Middle East.

 

Key Highlights:

 

Effective Date and Scope: The surcharge applies to all FedEx and TNT international shipments to and from Israel, impacting major markets including India, the UAE, and South Africa. The decision follows a temporary suspension of service, with limited operations resuming from June 22, 2025.

 

Surcharge Rates: For shipments between South Africa and Israel, the surcharge is set at ZAR 30.6 per kilogram, with a minimum charge of ZAR 19 per shipment for both parcels and freight. For other regions, surcharges are adjusted based on weight and service type, with similar structures expected for India and the UAE.

 

Service Categories: The surcharge covers a broad range of services, including FedEx International First, Priority Express, International Priority, International Economy, and various freight options. TNT’s express and economy services are also included in the new surcharge regime.

 

Operational Rationale: The companies cite increased operational costs and the need to maintain reliable service amid volatile conditions as the main drivers for the surcharge. These adjustments are part of ongoing efforts to stabilize logistics and ensure continued connectivity for businesses and individuals shipping to and from Israel.

 

Market Impact: The new surcharges are expected to affect shipping costs for exporters and importers in India, the UAE, and South Africa, especially those with regular trade links to Israel. Customers are advised to review updated rate tables and plan shipments accordingly.

 

This latest move underscores the ongoing challenges faced by global logistics providers in the region and signals further adjustments may be possible as the situation evolves.

 

Source: FedEx, TNT Express, TransImpact