diff --git a/lib/librte_gso/Makefile b/lib/librte_gso/Makefile
index 0f8e38f..a4d1a81 100644
--- a/lib/librte_gso/Makefile
+++ b/lib/librte_gso/Makefile
@@ -44,6 +44,7 @@ LIBABIVER := 1
 SRCS-$(CONFIG_RTE_LIBRTE_GSO) += rte_gso.c
 SRCS-$(CONFIG_RTE_LIBRTE_GSO) += gso_common.c
 SRCS-$(CONFIG_RTE_LIBRTE_GSO) += gso_tcp.c
+SRCS-$(CONFIG_RTE_LIBRTE_GSO) += gso_tunnel.c
 
 # install this header file
 SYMLINK-$(CONFIG_RTE_LIBRTE_GSO)-include += rte_gso.h
diff --git a/lib/librte_gso/gso_common.c b/lib/librte_gso/gso_common.c
index 4d4c3fd..1e16c9c 100644
--- a/lib/librte_gso/gso_common.c
+++ b/lib/librte_gso/gso_common.c
@@ -39,6 +39,7 @@
 #include <rte_ether.h>
 #include <rte_ip.h>
 #include <rte_tcp.h>
+#include <rte_udp.h>
 
 #include "gso_common.h"
 
@@ -194,11 +195,60 @@ update_inner_tcp4_header(struct rte_mbuf *pkt, uint8_t ipid_delta,
 	}
 }
 
+static inline void
+update_outer_ipv4_header(struct rte_mbuf *pkt, uint16_t id)
+{
+	struct ipv4_hdr *ipv4_hdr;
+
+	ipv4_hdr = (struct ipv4_hdr *)(rte_pktmbuf_mtod(pkt, char *) +
+			pkt->outer_l2_len);
+	ipv4_hdr->total_length = rte_cpu_to_be_16(pkt->pkt_len -
+			pkt->outer_l2_len);
+	ipv4_hdr->packet_id = rte_cpu_to_be_16(id);
+}
+
+static inline void
+update_outer_udp_header(struct rte_mbuf *pkt)
+{
+	struct udp_hdr *udp_hdr;
+	uint16_t length;
+
+	length = pkt->outer_l2_len + pkt->outer_l3_len;
+	udp_hdr = (struct udp_hdr *)(rte_pktmbuf_mtod(pkt, char *) +
+			length);
+	udp_hdr->dgram_len = rte_cpu_to_be_16(pkt->pkt_len - length);
+}
+
+static inline void
+update_ipv4_vxlan_tcp4_header(struct rte_mbuf *pkt, uint8_t ipid_delta,
+		struct rte_mbuf **segs, uint16_t nb_segs)
+{
+	struct ipv4_hdr *ipv4_hdr;
+	uint16_t i, id;
+
+	ipv4_hdr = (struct ipv4_hdr *)(rte_pktmbuf_mtod(pkt, char *) +
+			pkt->outer_l2_len);
+	id = rte_be_to_cpu_16(ipv4_hdr->packet_id);
+	for (i = 0; i < nb_segs; i++) {
+		update_outer_ipv4_header(segs[i], id);
+		id += ipid_delta;
+		update_outer_udp_header(segs[i]);
+	}
+	/* update inner TCP/IPv4 headers */
+	update_inner_tcp4_header(pkt, ipid_delta, segs, nb_segs);
+}
+
 void
 gso_update_pkt_headers(struct rte_mbuf *pkt, uint8_t ipid_delta,
 		struct rte_mbuf **segs, uint16_t nb_segs)
 {
 	switch (pkt->packet_type) {
+	case ETHER_VLAN_IPv4_UDP_VXLAN_VLAN_IPv4_TCP_PKT:
+	case ETHER_VLAN_IPv4_UDP_VXLAN_IPv4_TCP_PKT:
+	case ETHER_IPv4_UDP_VXLAN_VLAN_IPv4_TCP_PKT:
+	case ETHER_IPv4_UDP_VXLAN_IPv4_TCP_PKT:
+		update_ipv4_vxlan_tcp4_header(pkt, ipid_delta, segs, nb_segs);
+		break;
 	case ETHER_VLAN_IPv4_TCP_PKT:
 	case ETHER_IPv4_TCP_PKT:
 		update_inner_tcp4_header(pkt, ipid_delta, segs, nb_segs);
diff --git a/lib/librte_gso/gso_common.h b/lib/librte_gso/gso_common.h
index ce3b955..3f76fd1 100644
--- a/lib/librte_gso/gso_common.h
+++ b/lib/librte_gso/gso_common.h
@@ -44,6 +44,13 @@
 #define TCP_HDR_FIN_MASK ((uint8_t)0x01)
 
 #define ETHER_IPv4_PKT (RTE_PTYPE_L2_ETHER | RTE_PTYPE_L3_IPV4)
+#define INNER_ETHER_IPv4_TCP_PKT (RTE_PTYPE_INNER_L2_ETHER | \
+		RTE_PTYPE_INNER_L3_IPV4 | \
+		RTE_PTYPE_INNER_L4_TCP)
+#define INNER_ETHER_VLAN_IPv4_TCP_PKT (RTE_PTYPE_INNER_L2_ETHER_VLAN | \
+		RTE_PTYPE_INNER_L3_IPV4 | \
+		RTE_PTYPE_INNER_L4_TCP)
+
 /* TCP/IPv4 packet. */
 #define ETHER_IPv4_TCP_PKT (ETHER_IPv4_PKT | RTE_PTYPE_L4_TCP)
 
@@ -51,6 +58,33 @@
 #define ETHER_VLAN_IPv4_TCP_PKT (RTE_PTYPE_L2_ETHER_VLAN | \
 		RTE_PTYPE_L3_IPV4 | RTE_PTYPE_L4_TCP)
 
+/* VxLAN packet */
+#define ETHER_IPv4_UDP_VXLAN_IPv4_TCP_PKT (ETHER_IPv4_PKT | \
+		RTE_PTYPE_L4_UDP | \
+		RTE_PTYPE_TUNNEL_VXLAN | \
+		INNER_ETHER_IPv4_TCP_PKT)
+
+/* VxLAN packet with outer VLAN tag. */
+#define ETHER_VLAN_IPv4_UDP_VXLAN_IPv4_TCP_PKT (RTE_PTYPE_L2_ETHER_VLAN | \
+		RTE_PTYPE_L3_IPV4 | \
+		RTE_PTYPE_L4_UDP | \
+		RTE_PTYPE_TUNNEL_VXLAN | \
+		INNER_ETHER_IPv4_TCP_PKT)
+
+/* VxLAN packet with inner VLAN tag. */
+#define ETHER_IPv4_UDP_VXLAN_VLAN_IPv4_TCP_PKT (ETHER_IPv4_PKT | \
+		RTE_PTYPE_L4_UDP | \
+		RTE_PTYPE_TUNNEL_VXLAN | \
+		INNER_ETHER_VLAN_IPv4_TCP_PKT)
+
+/* VxLAN packet with both outer and inner VLAN tags. */
+#define ETHER_VLAN_IPv4_UDP_VXLAN_VLAN_IPv4_TCP_PKT (\
+		RTE_PTYPE_L2_ETHER_VLAN | \
+		RTE_PTYPE_L3_IPV4 | \
+		RTE_PTYPE_L4_UDP | \
+		RTE_PTYPE_TUNNEL_VXLAN | \
+		INNER_ETHER_VLAN_IPv4_TCP_PKT)
+
 /**
  * Internal function which updates relevant packet headers, following
  * segmentation. This is required to update, for example, the IPv4
@@ -79,7 +113,7 @@ void gso_update_pkt_headers(struct rte_mbuf *pkt, uint8_t ipid_delta,
  * @param pkt
  *  Packet to segment.
  * @param pkt_hdr_offset
- *  Packet header offset, measured in byte.
+ *  Packet header offset, measured in bytes.
  * @param pyld_unit_size
  *  The max payload length of a GSO segment.
  * @param direct_pool
diff --git a/lib/librte_gso/gso_tunnel.c b/lib/librte_gso/gso_tunnel.c
new file mode 100644
index 0000000..69aa91f
--- /dev/null
+++ b/lib/librte_gso/gso_tunnel.c
@@ -0,0 +1,61 @@
+/*-
+ *   BSD LICENSE
+ *
+ *   Copyright(c) 2017 Intel Corporation. All rights reserved.
+ *   All rights reserved.
+ *
+ *   Redistribution and use in source and binary forms, with or without
+ *   modification, are permitted provided that the following conditions
+ *   are met:
+ *
+ *     * Redistributions of source code must retain the above copyright
+ *       notice, this list of conditions and the following disclaimer.
+ *     * Redistributions in binary form must reproduce the above copyright
+ *       notice, this list of conditions and the following disclaimer in
+ *       the documentation and/or other materials provided with the
+ *       distribution.
+ *     * Neither the name of Intel Corporation nor the names of its
+ *       contributors may be used to endorse or promote products derived
+ *       from this software without specific prior written permission.
+ *
+ *   THIS SOFTWARE IS PROVIDED BY THE COPYRIGHT HOLDERS AND CONTRIBUTORS
+ *   "AS IS" AND ANY EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT
+ *   LIMITED TO, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR
+ *   A PARTICULAR PURPOSE ARE DISCLAIMED. IN NO EVENT SHALL THE COPYRIGHT
+ *   OWNER OR CONTRIBUTORS BE LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL,
+ *   SPECIAL, EXEMPLARY, OR CONSEQUENTIAL DAMAGES (INCLUDING, BUT NOT
+ *   LIMITED TO, PROCUREMENT OF SUBSTITUTE GOODS OR SERVICES; LOSS OF USE,
+ *   DATA, OR PROFITS; OR BUSINESS INTERRUPTION) HOWEVER CAUSED AND ON ANY
+ *   THEORY OF LIABILITY, WHETHER IN CONTRACT, STRICT LIABILITY, OR TORT
+ *   (INCLUDING NEGLIGENCE OR OTHERWISE) ARISING IN ANY WAY OUT OF THE USE
+ *   OF THIS SOFTWARE, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGE.
+ */
+
+#include <rte_ether.h>
+
+#include "gso_common.h"
+#include "gso_tunnel.h"
+
+int
+gso_tunnel_segment(struct rte_mbuf *pkt,
+		uint16_t gso_size,
+		uint8_t ipid_delta,
+		struct rte_mempool *direct_pool,
+		struct rte_mempool *indirect_pool,
+		struct rte_mbuf **pkts_out,
+		uint16_t nb_pkts_out)
+{
+	uint16_t pyld_unit_size, hdr_offset;
+	int ret;
+
+	hdr_offset = pkt->outer_l2_len + pkt->outer_l3_len + pkt->l2_len +
+		pkt->l3_len + pkt->l4_len;
+	pyld_unit_size = gso_size - hdr_offset - ETHER_CRC_LEN;
+
+	ret = gso_do_segment(pkt, hdr_offset, pyld_unit_size, direct_pool,
+			indirect_pool, pkts_out, nb_pkts_out);
+	if (ret > 1)
+		gso_update_pkt_headers(pkt, ipid_delta, pkts_out, ret);
+
+	return ret;
+}
diff --git a/lib/librte_gso/gso_tunnel.h b/lib/librte_gso/gso_tunnel.h
new file mode 100644
index 0000000..80bd0c5
--- /dev/null
+++ b/lib/librte_gso/gso_tunnel.h
@@ -0,0 +1,75 @@
+/*-
+ *   BSD LICENSE
+ *
+ *   Copyright(c) 2017 Intel Corporation. All rights reserved.
+ *   All rights reserved.
+ *
+ *   Redistribution and use in source and binary forms, with or without
+ *   modification, are permitted provided that the following conditions
+ *   are met:
+ *
+ *     * Redistributions of source code must retain the above copyright
+ *       notice, this list of conditions and the following disclaimer.
+ *     * Redistributions in binary form must reproduce the above copyright
+ *       notice, this list of conditions and the following disclaimer in
+ *       the documentation and/or other materials provided with the
+ *       distribution.
+ *     * Neither the name of Intel Corporation nor the names of its
+ *       contributors may be used to endorse or promote products derived
+ *       from this software without specific prior written permission.
+ *
+ *   THIS SOFTWARE IS PROVIDED BY THE COPYRIGHT HOLDERS AND CONTRIBUTORS
+ *   "AS IS" AND ANY EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT
+ *   LIMITED TO, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR
+ *   A PARTICULAR PURPOSE ARE DISCLAIMED. IN NO EVENT SHALL THE COPYRIGHT
+ *   OWNER OR CONTRIBUTORS BE LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL,
+ *   SPECIAL, EXEMPLARY, OR CONSEQUENTIAL DAMAGES (INCLUDING, BUT NOT
+ *   LIMITED TO, PROCUREMENT OF SUBSTITUTE GOODS OR SERVICES; LOSS OF USE,
+ *   DATA, OR PROFITS; OR BUSINESS INTERRUPTION) HOWEVER CAUSED AND ON ANY
+ *   THEORY OF LIABILITY, WHETHER IN CONTRACT, STRICT LIABILITY, OR TORT
+ *   (INCLUDING NEGLIGENCE OR OTHERWISE) ARISING IN ANY WAY OUT OF THE USE
+ *   OF THIS SOFTWARE, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGE.
+ */
+
+#ifndef _GSO_TUNNEL_H_
+#define _GSO_TUNNEL_H_
+
+#include <stdint.h>
+#include <rte_mbuf.h>
+
+/**
+ * Segment an tunneling packet. This function assumes the input packet
+ * has correct checksums and doesn't update checksums for GSO segment.
+ * Furthermore, it doesn't process IP fragment packets.
+ *
+ * @param pkt
+ *  The packet mbuf to segment.
+ * @param gso_size
+ *  The max length of a GSO segment, measured in bytes.
+ * @param ipid_delta
+ *  The increasing uint of IP ids.
+ * @param direct_pool
+ *  MBUF pool used for allocating direct buffers for output segments.
+ * @param indirect_pool
+ *  MBUF pool used for allocating indirect buffers for output segments.
+ * @param pkts_out
+ *  Pointer array, which is used to store mbuf addresses of GSO segments.
+ *  Caller should guarantee that 'pkts_out' is sufficiently large to store
+ *  all GSO segments.
+ * @param nb_pkts_out
+ *  The max number of items that 'pkts_out' can keep.
+ *
+ * @return
+ *   - The number of GSO segments on success.
+ *   - Return 1 if no GSO is performed.
+ *   - Return -ENOMEM if available memory in mempools is insufficient.
+ *   - Return -EINVAL for invalid parameters.
+ */
+int gso_tunnel_segment(struct rte_mbuf *pkt,
+		uint16_t gso_size,
+		uint8_t ipid_delta,
+		struct rte_mempool *direct_pool,
+		struct rte_mempool *indirect_pool,
+		struct rte_mbuf **pkts_out,
+		uint16_t nb_pkts_out);
+#endif
diff --git a/lib/librte_gso/rte_gso.c b/lib/librte_gso/rte_gso.c
index ef03375..0170abc 100644
--- a/lib/librte_gso/rte_gso.c
+++ b/lib/librte_gso/rte_gso.c
@@ -36,6 +36,7 @@
 #include "rte_gso.h"
 #include "gso_common.h"
 #include "gso_tcp.h"
+#include "gso_tunnel.h"
 
 int
 rte_gso_segment(struct rte_mbuf *pkt,
@@ -71,6 +72,14 @@ rte_gso_segment(struct rte_mbuf *pkt,
 				direct_pool, indirect_pool,
 				pkts_out, nb_pkts_out);
 		break;
+	case ETHER_VLAN_IPv4_UDP_VXLAN_VLAN_IPv4_TCP_PKT:
+	case ETHER_VLAN_IPv4_UDP_VXLAN_IPv4_TCP_PKT:
+	case ETHER_IPv4_UDP_VXLAN_VLAN_IPv4_TCP_PKT:
+	case ETHER_IPv4_UDP_VXLAN_IPv4_TCP_PKT:
+		ret = gso_tunnel_segment(pkt, gso_size, ipid_delta,
+				direct_pool, indirect_pool,
+				pkts_out, nb_pkts_out);
+		break;
 	default:
 		RTE_LOG(WARNING, GSO, "Unsupported packet type\n");
 	}
