November 3, 2021 in CUSTOMER ADVISORY
Customer Advisory: Emergency Fee at The Ports of Los Angeles & Long Beach
November 3, 2021
This advisory is to inform you of the recent surcharge announced by both Ports of Los Angeles and Long Beach.
The Ports of Los Angeles and Long Beach have announced that effective November 1, 2021, an “emergency fee” will be assessed against cargoes dwelling on port Terminals in excess of specified periods. The announced fees were developed in coordination with the White House’s Supply Chain Disruptions Task Force, the U.S. Department of Transportation, and several supply chain stakeholders.
The announced purpose of the “emergency fee” is to incentivize timely removal of containers from the San Pedro Bay terminals to improve the supply chain’s fluidity and reduce the critical level of congestion in the Ports of Los Angeles and Long Beach. The Ports will collect the fees directly from Ocean Carriers. The revenue will be re-invested by the Ports for programs designed to enhance efficiency, accelerate cargo velocity, and address the impact of congestion throughout San Pedro Bay.
The collection will start on November 15, 2021, and is subject to review by the two Ports.
As part of this announcement, APL Logistics advises that this surcharge will be assessed as a “pass-through” cost to our partners when both Ports start the collection. The following pass-through fee as reported by the two ports:
- For cargo designated for movement by truck remaining on port nine (9) or more days after discharge
- For cargoes designated for movement by rail remaining on port six (6) or more days after discharge
- The fee of $100 per container increases in increments of $100 per container per day (i.e., the fee will be $100 per container on Day 9, $200 per container on Day 10, $300 per container on Day 11).
Please see the sample calculation table below:
|Day After Free Time||Daily Fee||Total Surcharge per Container|
|N||N||Add $100||N day + previous total|
Please see links to the announcements by the Ports below:
We will continue to monitor the situation and send additional updates as needed. If you have any further questions or concerns, please contact your APL Logistics Account Manager or local APL Logistics office.
About APL Logistics
APL Logistics is the go-to global supply chain specialist for companies in the Automotive, Consumer, Industrials, and Retail sectors. The APL Logistics group of companies has a global network covering all major markets and is backed by a multinational workforce of over 5,500 people. APL Logistics Ltd is a member of the Kintetsu World Express group, a global logistics services provider. For more information, www.apllogistics.com or email us at firstname.lastname@example.org and connect with us on LinkedIn, Instagram, and YouTube.