Besides THC and DOC Fees, what other common surcharges might shipping companies impose?
In this article, Weefreight will explain in detail, hoping it will be helpful.
Bunker Surcharge (BAF or FSC): This is a fee charged by shipping companies to cover costs due to fluctuations in international fuel prices. It is generally charged per container.
Origin Receipt Charge (ORC): This is a local collection fee charged by shipping companies for ocean routes, primarily departing from ports in South China and destined for North America, Central and South America, Europe, and North Africa. Only one of this and THC is charged.
Gross Rate Increase (GRI): This is commonly used on routes to South America and the US. When factors such as port, vessel, and fuel cause shipping companies to significantly increase transportation costs, shipping companies will charge this fee to offset expenses.
Emergency Bunker Surcharge (EBS): A temporary fee imposed to offset costs when international crude oil prices rise rapidly and shipping companies are unable to raise ocean freight rates immediately. This fee is often used on Australian routes.
Port Congestion Surcharge (PCS): When ports are congested or extremely busy, resulting in extended waiting times and increased berthing fees, shipping companies may charge shippers this fee to offset the increased transportation costs. For example, the Port of Alexandria will begin charging a PCS fee of USD 350 per TEU starting August 15, 2025.
Peak Season Surcharge (PSS): A surcharge imposed by shipping companies during peak shipping season due to factors such as space shortages, increased staffing requirements due to busy business, and increased machinery wear and tear. This surcharge is more common on European routes.
Currency Devaluation Surcharge (CAF): When the currency used to denominate freight rates depreciates significantly, shipping companies may pass on the losses to shippers by levying this fee.
Direct Dispatch Charge (DDC): This is a destination port unloading surcharge on US-Canada routes, typically included in DDU or DDP terms, and is borne by the seller or shipper.
Automated Manifest System (AMS): This is a mandatory fee required by US Customs, generally $25 per shipment. It is also charged on ships bound for Canada and some Central and South American routes transiting through the US or Canada.
Container Imbalance Charge (CIC): Due to imbalances in trade volume or seasonal variations, resulting in uneven distribution of cargo flow and containers, shipping companies impose this surcharge to cover the cost of moving empty containers.
Overweight Liability Charge (HLA): If a single piece of cargo exceeds the shipping company’s specified weight, such as exceeding 2, 3, or 5 tons, and requires special equipment or operations for loading or unloading, the shipping company will charge an overweight surcharge.
Overlength Charge (LLA): If a piece of cargo exceeds the permitted length, such as exceeding 9 meters or a containerized cargo exceeding 6 meters, shipping companies will charge an overlength charge to compensate for the increased difficulty in loading, unloading, and stowage.
Suez Canal Surcharge (SCS): For routes from Asia, Oceania, East Africa, and other regions to Europe, ships must pay tolls to the canal authorities for transiting the Suez Canal. Shipping companies will pass this cost on to customers through the SCS.
Panama Canal Surcharge (PTF): Some routes, such as those from the Far East to the eastern United States, require transit through the Panama Canal. Shipping companies pass on the tolls they pay to the canal authorities through the PTF.
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