Dong Fang International Containers
Dong Fang International Containers

How Are Various Fees Generated in Container Shipping?

In addition to freight shipping, a series of costs related to "containers" also account for a considerable proportion of the shipping cost and cannot be underestimated. So, what are the costs associated with "containers"?

Freight shipping container landing fee

When the  container  enters the port, the terminal has not yet opened to collect the containers and cannot enter the port. The fleet cannot keep this container on the trailer because there are other containers to drag. So, they will find a place to drop the container, and when the port opens, they will drag it in. This will incur a landing fee.

Freight shipping container advance fee

An advance container is a container that needs to be picked up before the normal container pickup date in special circumstances to obtain a container number, fill in the manifest or other information. The fee charged at this time is called an advance container fee.

Cost responsibility:

  • Advance container fee: customer.

  • Landing fee: If it is due to the fleet, the fleet should bear the cost themselves. If it is due to the customer, the fee should be charged to the customer.

Freight shipping container demurrage fee

In order to accelerate the circulation of  freight shipping containers  and avoid backlog, shipping companies have formulated a free period of use for containers. During this period, the cargo occupying the container can be used free of charge. If it exceeds the deadline, the cargo occupying the container needs to pay a fixed fee, which is called "demurrage fee".

The demurrage fee is calculated on a daily basis. For exports, it is usually 7 days. Demurrage fees are often generated in imports. Containers can be used free of charge within a few days (such as ten days) after the ship berths. If the specified time is exceeded, fees will be charged. Therefore, after the ship arrives at the port, import customs clearance and cargo handling must be completed in a timely manner, and empty containers must be returned to the location designated by the shipping company in a timely manner. The free use period for the special freight shipping container is shorter. Of course, different shipping companies have different regulations, and the specific number of days needs to be inquired from the shipping company. If it is the customer's SOC container, there is no demurrage fee.

Freight shipping container pre-entry fee

After packing, the container of the ship has not been opened, and the terminal does not allow entry. The fee generated when applying for permission to enter the port in advance.

If the opening date has not arrived and there is an urgent need to operate in advance, how should the pre-entry fee and landing fee be selected? The landing fee depends on the fleet, and the charging standards for each fleet are different. It may also increase during peak periods. The pre-entry fee is generally more fixed and definitely cheaper than the landing fee, but not all terminals allow pre-entry. From a safety perspective, priority should also be given to pre-entry, which can avoid sudden events the next day and ensure safety.

Freight shipping container inversion fee

The cost of moving  containers . The inversion fee is generally caused by a ship change. Generally, the position of the container on the ship is planned. Once a ship change occurs, the inversion is inevitable. For example, during the ocean shipping process, different sea areas have requirements for the tonnage and route of the ship. Some ships are not suitable for certain sea areas or do not run certain routes, or it is not economical to run certain routes, so it will cause the goods to be transferred to another ship.