Importing Fees 101

Import Fees Quick Guide

Logistics terms can be confusing but having a good handle on the fees you may incur when you ship freight into the United States can help you stay on top of your costs, and can help you make smarter supply chain decisions.

• Free Time: The amount of time that a carrier’s equipment can be used without incurring additional charges.
• Last Free Day (LFD): The last day that an ocean container can sit at the port or rail ramp before the carrier starts charging demurrage, “per diem” or usage fees
• Demurrage: Costs incurred by a customer for using equipment beyond the given free time inside the port terminal. Demurrage fees are charged when containers are still full and under the control of the shipping line, and have not been cleared through customs or picked up by the consignee.
• Detention: The costs incurred by a customer for using equipment beyond the given free time, typically outside of the terminal. Detention is charged when the carrier’s equipment is still in use by the shipper or consignee beyond the LFD, regardless of whether the container is full or is empty.
• Per Diem: Per Diem is a fixed rate fee per container per day until the equipment is returned to the port. Per diem and detention can be used interchangeably.
• Driver Detention: When driver wait time, either at the origin/pickup or destination/delivery location, exceeds the given free time for loading or unloading the truck. This fee is usually charged at an hourly rate and is charged by the carrier.
• Storage/Ground Rent: The cost incurred by a customer for using physical space at port, terminal, warehouse, depot, or inland container yard facilities. This is sometimes referred to as “quay rent.”

Our International Account Executives are experts in imports, exports and drayage services to help you get your freight out of the port and to its final destination as fast and with the least expense possible.