Transshipment Charge

Transshipment Charge refers to the cost incurred when goods, during transportation, cannot be shipped directly to the destination port and need to be transferred to another vessel at an intermediate port. This charge typically includes costs for unloading, storage, reloading, and handling at the transit port. It is commonly used when there is no direct route or when direct costs are too high, and the carrier arranges transshipment. Note: The transshipment charge may be borne by the seller or buyer, depending on the trade term (e.g., CIF, FOB) and contract terms; if container transport is used, the transshipment charge is often included in the through freight, but for bulk or special cargo, it may be listed separately. Unlike 'Transit Fee', transshipment charge specifically refers to the vessel transfer process, while transit fee may cover broader transit costs. Contrary to 'Direct Additional', transshipment charge is an added cost due to transshipment. Foreign trade practitioners should clarify whether the transshipment charge is included when quoting to avoid disputes.