Author Name: Tiffany Lee – Marketing Analyst at FreightAmigo
Terminal Handling Charges (THC), which are fees that shipping lines and terminal operators charge for handling containers at ports.
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Definition of Terminal Handling Charges (THC)
THC is the fee charged by shipping lines and terminal operators for handling containers at ports. It covers the cost of loading and unloading containers, as well as the use of port facilities and equipment.
Terminal Handling Charges (THC) Calculation
THC is calculated based on the size of the container, the port of loading and unloading, and the shipping line or terminal operator. The fees can vary widely depending on these factors.
Terminal Handling Charges (THCs) cover various services related to the handling of containers at ports. These services include the movement of containers from the vessel to the yard and vice versa, which involves the use of equipment such as cranes and forklifts. THCs may also include the cost of storing containers at the terminal for a specified period of time. Additionally, fees may cover the preparation and processing of documentation related to the movement of containers. Terminal operators may also charge for maintenance and security at the terminal, including the use of security personnel and equipment. Finally, the cost of maintaining terminal infrastructure and equipment is often included in the overall THC fees.
Terminal Handling Charges (THC) vs. Freight Charges
THC is separate from freight charges, which cover the cost of transporting the container from one port to another. THC is charged at both the port of loading and the port of unloading, whereas freight charges are only charged for the transport of the container.
Impact of Terminal Handling Charges (THC) on Shipping Costs (H2)
THC can significantly impact the overall cost of shipping. It is important for shippers to understand the THC fees and include them in their cost calculations.
Negotiating Terminal Handling Charges (THC)
Shippers can negotiate THC fees with shipping lines and terminal operators. This can be done by comparing fees from different providers and leveraging volume discounts.
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THC can vary depending on the type of cargo being shipped and the level of automation at the port. If you have any inquiries on THC and international trade, feel free to contact FreightAmigo now:
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