Port Construction Fee

Port Construction Fee is a government fund levied by Chinese ports on cargo, used for the construction and maintenance of port infrastructure. This fee is usually borne by the cargo party (shipper or consignee), and the specific payer depends on the trade term (e.g., under FOB the buyer pays, under CIF the seller pays). The levy standard is based on the weight or volume of the cargo, and rates vary by port and cargo type. Foreign trade practitioners should note: this fee is not present in all countries, only levied in a few countries such as China; it is different from Terminal Handling Charge (THC) or wharfage, which are port service fees, whereas the Port Construction Fee is a government levy. When quoting and calculating costs, it must be clarified who bears this fee to avoid disputes. In addition, this fee may be adjusted with policy changes, so the latest announcements should be monitored. Compared with THC, the Port Construction Fee is more mandatory and is usually not included in ocean freight.