Hidden Secrets in International Logistics Quotations (Understanding 12 Abbreviated Fees, including THC, DOC, and BUC)

Fees like THC and DOC are common in international logistics quotations. Below is a detailed introduction to these 12 abbreviations:

Terminal Handling Charge (THC): THC stands for Terminal Handling Charge and refers to the fees incurred for container loading, unloading, stacking, and relocation at the ports of departure and destination. THC can be divided into the Port of Departure Terminal Handling Charge (OTHC) and the Port of Destination Terminal Handling Charge (DTHC).

Document Charge (DOC): In the international logistics industry, there are two types of DOC: the DOC charged by the shipping company, a fixed fee in RMB; and the DOC charged at the port of destination, also known as the bill of lading exchange fee or bill of lading amendment fee, which is generally charged at US$75 per shipment.

Bunker Surcharge (BUC): BUC can be a way of expressing the fuel surcharge, such as some quotations showing a BUC of $45 per container. However, the fuel surcharge is more commonly expressed as BAF (Bunker Adjustment Factor) or FSC (Fuel Surcharge).

Origin Receiving Charge (ORC): ORC stands for Original Receiving Charge and refers to a local receiving charge charged by shipping companies for ocean routes departing from ports in South China (primarily Guangdong) and destined for North America, Central and South America, Europe, and North Africa. Only one of ORC and THC can be charged: if ORC is charged, THC will not be charged; if THC is charged, ORC will not be charged.

General Rate Increase (GRI): GRI stands for General Rate Increase and is generally used on routes to South America and the US. When shipping costs increase significantly due to port, vessel, fuel, cargo, or other factors, shipping companies may charge this surcharge by increasing their base rates to compensate for these expenses.

Emergency Bunker Surcharge (EBS): EBS stands for Emergency Bunker Surcharge and is commonly used on Australian routes.

Currency Adjustment Factor (CAF): CAF stands for Currency Adjustment Factor or Currency Adjustment Surcharge. When the currency used to denominate freight significantly depreciates, shipping companies suffer significant losses. To offset these losses, they pass the losses on to shippers/cargo owners through the addition of a currency adjustment surcharge.

Port Congestion Surcharge (PCS): PCS stands for Port Congestion Surcharge and is commonly used in certain ports in Israel and India and on routes to Central and South America. For example, the Alexandria port will charge a PCS (US$350 per TEU) starting August 15, 2025.

Peak Season Surcharge (PSS): PSS stands for Peak Season Surcharge. It’s a fee charged by shipping companies to compensate for increased costs due to increased manpower and machinery wear and tear during peak season. It’s more common on European routes and is denominated in US dollars, charged per TEU.

Direct Service Charge (DDC): DDC stands for Destination Delivery Charges. It’s used on US-Canada routes and is a surcharge for unloading cargo at the port of destination.

Automated Manifest System (AMS): AMS stands for Automated Manifest System. This fee is mandatory on US routes, generally $25 per shipment. It’s also charged at ports of call in Canada. Some ships bound for Central and South America that stop in the US or Canada also incur this fee.

Consolidation Fee (CFS): CFS stands for Container Freight Station. It applies to the consolidation of bulk cargo into containers and covers the handling costs at a container freight station, such as unpacking and packing.

(Note: All fees listed above are for reference only. Please refer to your actual invoice for details. Thank you!)

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