Tuesday, December 22, 2009

Transpacific Container Shipping Group Impose Box Rate Levy

“Emergency Revenue Charge” will be Voluntary
Shipping News Feature

US – ASIA – The Transpacific Stabilization Agreement (TSA), a collective of fourteen of the worlds largest container carriers, have declared an emergency revenue programme to boost their incomes in the much depressed market. From 15th January the lines intend to charge an extra levy on every shipping container whilst the normal contract renewal date will remain as May 2010 when the charges will be reviewed.

The extra costs are to be $320 per TEU, $400 per FEU, $450 per high cube FEU and $505 per 45 foot container. These new box rates will be imposed voluntarily by the individual lines. The TSA have stated that the emergency levy will be rescinded when the new contracts are agreed with individual customers.

This new set of charges comes after the TSA stated in October that TEU rates would be subject to a $400 levy in August 2010 as a supplement against periods of low traffic levels. We reported in November on the increases imposed under the Westbound Transpacific Stabilization Agreement.

The TSA members are all suffering from the “black hole” in the transoceanic trade with a surplus of vessels for the cargo available. A full list of members of the TSA can be seen here.