The “low origin port rate + high destination port fees” is a common scam in sea freight. The core of this scam is to attract bookings with low prices and then recover profits through hidden fees at the destination port.
Weefreight will now provide you with a detailed explanation, hoping it will be helpful to you.
I. Characteristics of the Typical Scam
Origin port rate far below market price: The origin port ocean freight (O/F) is significantly lower than competitors, even close to cost price, to grab orders.
Destination port fees are vague/split: The quotation only lists the origin port rate, and the destination port fees (D/O, THC, warehousing, document handling, inspection, demurrage, etc.) are not fully listed or are vaguely described as “actual cost” or “payable upon arrival,” resulting in a surge in fees upon arrival at the port.
Bundled surcharges: Normal fees are split into multiple items, such as “document handling fee + operation fee + document fee + warehousing pre-payment,” resulting in duplicate billing.
Designated agent/mandatory service: Requiring the use of their designated destination port agent, otherwise charging high fees for changing documents or handling fees, creating a monopolistic price increase.
Temporary price increases during peak season: During peak season, temporary surcharges such as emergency fees and congestion fees are added at the destination port under the pretext of “congestion and tight capacity,” without official justification.
II. Quick Identification Methods
Compare full-chain quotations: Don’t just look at the origin port rate; require the freight forwarder to provide a complete list of all fees, including all fees at the origin port and destination port, and compare the total cost after calculation.
Verify destination port fee standards: Check the official standards for local fees (THC, D/O, etc.) through the destination port terminal and shipping company websites. Any amount exceeding the reasonable range indicates a price increase. Check if the cost breakdown is clear: Legitimate quotes will list the name, rate, and unit of each fee. Be wary of vague descriptions (such as “comprehensive fee” or “miscellaneous fees”).
Confirm the agent’s qualifications: Request information about the agent at the destination port and verify whether they are a legitimate customs clearance/trucking company to avoid collusion and price gouging by unscrupulous agents.
Beware of “zero freight” or “negative freight” quotes: These quotes will inevitably be compensated for through exorbitant profits at the destination port, posing extremely high risks. Avoid them entirely.
III. Avoidance Strategies
Sign a detailed contract: Clearly define all fees (including those at the destination port), rates, payment parties, and adjustment conditions, and stipulate “no additional hidden fees,” with provisions for accountability in case of breach of contract.
Request fee lock-in: When booking during peak season, obtain written confirmation of the fee validity period to avoid last-minute price increases.
Choose a reputable freight forwarder: Prioritize freight forwarders with NVOCC qualifications, a good reputation, and stable partnerships. Do not be tempted by low prices offered by small, unreliable companies.
Communicate with the destination port in advance: Confirm the customs clearance, trucking, and warehousing channels at the destination port with the consignee to avoid being forced to use a designated agent.
Keep records and seek redress afterwards: If you encounter unreasonable charges after arrival, keep the quotation, contract, and communication records, and file a complaint with the freight forwarder association or maritime authorities.
(Note: The above information regarding timeliness or costs is for reference only. Please refer to the actual situation at the time of shipment for specific details. Thank you!)
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