Physical damage - is one of the 8 damage types in the game. It includes damage from "bullets, shrapnel, and other kinetic sources", but also melee attacks from claws and teeth.

The name prefix "physical" and the icon (see uper right corner of this article) are often omitted. If no damage type is specified, it's physical damage.

Physical critical hits do double damage. (Useful with physical-damage rifles)

For more detailed information about the effects of damage, see: damage type