Port Congestion Surcharge is an additional fee levied by shipping companies due to port congestion, which causes prolonged vessel waiting times and reduced operational efficiency. It is common in container transport, especially during peak seasons or unexpected events such as strikes or weather disruptions at major ports in Europe, America, and Southeast Asia. Usage scenario: When a shipping company anticipates or actually experiences port congestion, it charges this fee to cargo owners (usually borne by the shipper, but may be agreed to be paid by the consignee), and it is listed in the bill of lading or freight confirmation. Notes: This fee is not included in the basic ocean freight and must be separately confirmed whether it is included in the quotation; different shipping companies may use different names (e.g., Port Congestion Fee), and the amount fluctuates with the degree of congestion; it differs from Demurrage, which is a fee for cargo stored at the terminal beyond the free time, while Port Congestion Surcharge is an additional fee in the transport process; it differs from Peak Season Surcharge (PSS) in that the latter is levied due to a surge in cargo volume, while the former directly results from port congestion. Foreign trade practitioners should specify the responsible party for the fee in the contract and promptly monitor shipping company notices to avoid extra costs.
📝 Examples
1. Due to continuous congestion at the Port of Los Angeles, the shipping company has announced a Port Congestion Surcharge of USD 300 per 20-foot container starting next month. Please confirm whether your company accepts this. (Note: The shipping company notifies the cargo owner of the new surcharge, and the responsible party needs to be negotiated.)
2. This quotation does not include the Port Congestion Surcharge. If congestion occurs at the destination port, this fee will be reimbursed by the consignee on an actual-cost basis against the shipping company's invoice. (Note: Clearly state the fee exclusion clause in the quotation to avoid disputes.)
💡 Foreign Trade Tips
Foreign trade terms are the foundation of international business communication
Trade practices may vary slightly by country; pay attention when using them
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