FreightAmigo Academy – Shipping Terms

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There are currently 21 terms in this directory beginning with the letter H.
Hague Rules
A set of rules designed to resolve the problem of ship owners excluding themselves from all liabilities related to loss or damage of cargo under their control. Carrier must demonstrate “reasonable care” in the handling of cargo.

Handling Costs
The cost involved in transferring, preparing and otherwise contracting inventory.

Hangertainer
Specialised container equipped with hanger beams for the purpose of stowing garments on hangers.

Harbor Maintenance Fee (HMF)
The Harbor Maintenance Fee (HMF) is assessed by U.S. Customs for products imported via ocean through U.S. ports. If a shipment is transporting via ocean to a Canadian port, and routed through Canada into the U.S., it will not be subject to the HMF.

Harmless Chemicals
A cargo description, which is a contradiction of terms. A chemical is a substance and whether it is harmless or not, depends on the context in which the substance appears or is used.

Harmonized System (HS)
The Harmonized Commodity Description and Coding System, is an internationally standardized system of names and numbers to classify traded products. It came into effect in 1988 and has since been developed and maintained by the World Customs Organization (WCO). Under the HS Convention, the contracting parties are obliged to base their tariff schedules on the HS nomenclature, although parties set their own rates of duty.

Harmonized Tariff System (HTS)
An organized listing of goods and their duty rates which is primarily used by Customs as the basis for classifying imported products and therefore, establishing the applicable duties.

Haulage
The local transport of goods also used interchangeably with cartage/ drayage. More common in Europe as a way of describing road transportation.

Hazardous or Dangerous Cargo
A type of cargo that includes substances capable of posing unreasonable risk to the personnel, vessel and marine environment. Such goods are classified under the IMDG code which gives detailed information about the risk and nature of the individual substances as well as guidance on special handling.

Hazmat
Hazmat means “hazardous materials.” Hazardous materials include but are not limited to: -Batteries -Magnets -Chemicals (e.g. lighter fluid, hand sanitizers, etc) -Fertilizer -Gases -Poisonous substances -Explosives and flammable substances The supplier should know whether a product is hazmat and how to ship a hazmat product. The supplier should also be able to provide all dangerous goods paperwork. All shipments must comply with hazmat regulations.

HC (High Cube) Container
A HC container is taller than a standard container, and can fit more cargo. HC (high cube) containers are one foot taller than standard containers, increasing CBM (Cubic Meter) capacity. HC containers are typically available in 40' and 45' lengths.

Heavy Lift Charge
Charge for cargo which is too heavy to be lifted by standard cranes or ship's tackle.

High Cube Non-Functioning reefer container (HNOR)
Equipment type used when a reefer is supplied in the place of a DRY/HIGH container.

High-cube (HC)
High-cube 40 foot-long or 45-foot-long container with additional height

Hitchment
Marrying 2 or more portions of one shipment that originate at different geographical locations, moving under one bill of lading, from one shipper to one consignee. Authority for this service must be granted by tariff publication.

Holds
Section of vessel in which containers are stored.

Horizontal Integration
The expansion, acquisition or merger of firms in similar industries/ segments. E.g. supermarket chain merging with another.

House B/L / House Airway Bill
A House Bill of Lading is issued by a Freight Forwarder (e.g. Damco). This allows the freight forwarder to procure and essentially resell the transport whilst holding cargo until payment by the customer via the Master BL/ Master Sea Waybill. The HBL should always be issued on a back to back basis with a MBL, which means that the HBL should be an EXACT replica of the MBL issued by the actual Shipping line, in respect of all details except the shipper, consignee and notify party details which will be different in the HBL and MBL.

HS / HTS Codes
HS (Harmonized Commodity Description and Coding System) codes are product classification codes used by U.S. Customs and all other members of the World Customs Organization (WCO) to classify goods for customs purposes. HS codes are six digits that can be broken down into three parts: the first two digits identify the chapter in the HS Nomenclature the goods are classified in, the next two digits identify the heading within that chapter, and the last two digits identify the subheading within that chapter. The U.S. uses HTS codes to classify products imported into the U.S. HTS (Harmonized Tariff Schedule) codes are product classification codes between 8-10 digits. The first six digits are an HS code, and the countries of import assign the subsequent digits to provide additional classification. U.S. HTS codes are 10 digits and are administered by the U.S. International Trade Commission. Your supplier may be able to provide you with an HTS code, but note that many Chinese suppliers will supply the Chinese variation of the HTS code. Since the first six digits of an HTS code is a universal HS code, you need to determine the final four digits of the HTS code for U.S. import using the Harmonized Tariff Schedule. With an HTS code, you can estimate the customs duties you will need to pay upon importing into the U.S.

Hub
A centralized location, can refer to the center of an airline, trucking or maritime network that connects many routes (spokes) in the network. By most optimally locating hubs, companies can maximize transport efficiencies and access to markets.

Hustler
Tractor that pulls containers around the pier for positioning. Also known as a yard hustler.