Fuel Surcharge (FSC)

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Fuel Surcharge (FSC)

A Fuel Surcharge (FSC) is an additional fee imposed by carriers, primarily in the trucking industry but also in ocean or air transportation, to offset fluctuations in fuel costs influenced by regional or seasonal factors. It serves as a mechanism to mitigate the impact of volatile fuel prices on carriers. The surcharge is typically calculated as a percentage of the base transportation rate and varies based on changes in fuel prices. By implementing a fuel surcharge, carriers can adapt their pricing to reflect the current fuel expenses, ensuring their operational costs are adequately covered while providing transparency to customers regarding fuel-related fluctuations in the transportation charges. This practice helps maintain stability and financial viability for carriers amidst the unpredictable nature of fuel price variations.

 

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