x Your business has shipments transported by sea and needs to know if, in addition to the fixed fee, there are any additional sea freight surcharges?
x You do not clearly understand what the concept of surcharges in ocean container shipping means? How much does the fee fluctuate?
x You need to understand the correct concept and function of each type of sea surcharge?
Proship.vn is proud to be a unit specializing in providing container shipping with many years of experience and will list the most common types of surcharges in sea transport. At the same time, Proship Logistics also pointed out the reason why surcharges arise in sea transport today.
What is sea freight surcharge?
What is ocean freight surcharge?
Ocean freight surcharges are fees added to ocean freight in the shipping line's or association's tariff. The purpose of these surcharges is to compensate shipping lines for additional costs or reduced revenue due to changes in fuel prices, outbreaks of war, etc.
These surcharges often change and in some cases, new surcharge notices are provided to shippers by shipping lines very shortly before they are applied. When calculating total costs, shippers need to avoid overlooking surcharges that shipping lines are applying on the transport route the shipment will pass through. Normal sea freight for domestic freight does not include surcharges.
Some domestic shipping surcharges
Some surcharges for domestic goods transported by sea containers:
- Lift on/lift off: Fee to support lifting and lowering containers, about 750,000 - 1,200,000 VND;
- Cleaning fee: Cleaning fee, about 200,000 - 400,000 VND;
- D/O: Delivery order fee, about 150,000 - 300,000 VND.
Causes of ocean freight surcharges
Surcharges in shipping containers by sea are fees incurred in addition to the costs that the shipping company has stipulated for the ship. These types of surcharges in sea transport are often considered as port service fees or cargo processing and handling costs.
Causes of surcharges in maritime transport:
- Regulations on fees paid when importing goods;
- Fees as prescribed by the importing country's customs;
- Delay costs due to delays due to objective reasons;
- Fuel price fluctuations;
- Fees during peak seasons.
>>See more: Sea route on the North-South route
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Types of sea container transportation surcharges
Below are the common types of surcharges in maritime transportation today:
- THC Charge (Terminal Handling Charge):
Port handling surcharge - Port handling surcharge is a fee collected on each container to offset costs for cargo handling activities at the port, such as: loading and unloading, gathering containers from the CY to the wharf...
In essence, the port collects the shipping line for loading and unloading fees and other related fees, and the shipping line then collects from the shipper (sender/consignee) a fee called THC...
- CIC Fee (Container Imbalance Charge):
Container imbalance surcharge - Is a surcharge (in addition to ocean freight) collected by shipping lines from shippers to offset costs arising from moving (re-positioning) a large number of empty containers from places with surplus to places with shortages. .
- Telex fees:
Electric delivery fee - This is a form of delivery for Consignee where the Shipper does not need to send the original Bill, making receiving goods faster and more convenient.
- Seal Fee:
Seal surcharge, also known as lead seal fee.
- Handling fee:
This fee is set by delivery companies to collect from the shipper/consignee. Handling is the process in which a forwarder deals with their agent abroad to agree on representing the overseas agent in Vietnam to perform some tasks such as declaring a manifest with the customs authority, issuing a BL. , D/O as well as related documents....
- AMS (Automatic Manifest System) Fee:
Customs data transmission fee for goods going to the US and Canada.
- AFR Fee (Advance Filing Rules):
Customs data transmission fee for goods going to Japan.
- ENS Fee (Entry Summary Declaration):
Customs data transmission fees for goods going to Europe.
- CFS Fee (Container Freight Station Fee):
Loading, unloading and management fee of the warehouse at the port - This fee is collected by the warehouse per CBM for the costs of loading, unloading, managing, packing goods into containers (export goods), unloading goods from containers (import goods) for batches. retail goods.
- Cleaning fee:
Container cleaning fee – After each transport, the container will be washed and dried to ensure good condition of the container.
- Bill of Lading:
Bill making fee - Documentation fee for the shipping company to prepare the bill of lading and other paperwork procedures for export shipments.
- D/O Fee (Delivery Order):
Delivery order fee - When there is a shipment of goods imported into Vietnam, the Consignee must get the delivery order, bring it outside the port, present it to the warehouse (retail goods), and make an EIR slip (full container goods) before being able to pick up the goods.
- Detention Fee:
Fee for storing containers at the customer's private warehouse.
- Dem Fee (Demurrage):
Container storage fee at the yard (port).
- ISPS (International Ship and Port Facility Security) Fee:
Security surcharge.
- ISF (Importer Security Filing) Fee:
Fee for transmitting customs data to the US for consignee.
- Lift on/off fee:
Lift on/off fee is also one of the surcharges in sea transport, that is, the fee for lifting/lowering containers.
- Courier fee:
Express delivery fee by DHL, FedEx or UPS.
- PSS Fee (Peak Season Surcharge):
This peak season surcharge is applied by shipping lines from August to October, when there is a sharp increase in the need to transport finished goods to prepare goods for the Christmas and Thanksgiving Day seasons.
- PCS Fee (Port Congestion Surcharge):
Port congestion fee - This surcharge applies when the loading or unloading port is congested, which can delay the ship, leading to related costs for the ship owner (because of the time value of the entire ship). ship is quite large).
- B/L correction fee: (Amendment fee):
Applicable when it is necessary to edit the B/L - When issuing a set of B/L to the shipper, after the shipper receives it or for some reason, it is necessary to edit some details on the B/L and request the Shipping Line, If the forwarder edits, a fee will be incurred.
- LSS Fee (Low Sulfur Surcharge):
The LSS fee is also a surcharge for ocean container shipping, understood as a surcharge for reducing sulfur emissions.
- CAF (Currency Adjustment Factor):
Foreign exchange rate fluctuation surcharge - Is a surcharge (in addition to sea freight) that shipping lines collect from shippers to offset costs incurred due to foreign exchange rate fluctuations.
- BAF (Bunker Adjustment Factor):
Fuel price fluctuation surcharge - Is a surcharge (in addition to sea freight) that shipping lines collect from shippers to offset costs incurred due to fuel price fluctuations. Equivalent to the term FAF (Fuel Adjustment Factor).
Above are the types of surcharges in shipping containers by sea that every Import-Export Enterprise needs to pay attention to when the Forwarder or Shipping Unit quotes to minimize the costs incurred. When in need, immediately contact 0909 344 247 to get advice from Proship staff on Domestic shipping services and answers to common sea freight surcharges.
