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LOCAL CHARGES generally refers to in addition to international air (sea) freight, in the “other country” to generate other costs. Including: customs fees, inspection and quarantine fees, documentation fees, security fees, storage fees, warehousing fees, door-to-door pickup (delivery) fees and other costs. But “the other country’s” customs duties and fees are generally not included.
LOCAL CHARGE includes the following points:
- Booking Fee: RMB290/20′, RMB420/40′ GP/HQ in general.
- Customs declaration fee: RMB100-120/copy (if a shipment has N families, then the total customs declaration fee is 100N, in addition to the name of more than 5, every increase of 5 also need to add money, we pay to the customs broker is so RMB30/+5 name).
- THC: RMB370/20′, RMB560/40’GP/40’HQ (paid to the port terminal).
- Documentation fee: (Shipping company charge RMB115/BILL).
- Operation Fee: RMB150-200 (usually on delivery, but not on prepaid).
- AMS: USD25/RMB210 (US/Canada line).
- Drag card fees (depending on where),: Another few period of pickup period is to pay attention to. General 4 period of the box (such as Yong **/An **), plus RMB100/CONTAINER, into the 4 period of 5 terminals, plus RMB200/CONTAINER.
In the usual use of FOB, CIF terminology, for import and export enterprises, generally does not produce LOCAL CHARGE, LOCAL CHARGE who bear.
If you want to learn more about the cost of traveling from China to the United States, check out this article:
Who will bear the LOCAL CHARGES?
Export CIF, LOCAL CHARGE is borne by the consignee of the other country.
Import FOB, LOCAL CHARGE is borne by the consignor of the other country.
Only goods involved in door-to-door transportation, such as door-to-door, port-to-door, door-to-port goods, will produce LOCAL CHARGE.
For example: import EXW, factory pickup. LOCAL CHARGE from the other country’s manufacturers to pick up the goods until the goods shipment of this section are to be borne by our importer.
Export DDU or DDP, fees paid to the designated destination. The LOCAL CHARGE incurred between the arrival of the goods at the port of the other country and their delivery to the consignee’s designated place are to be borne by the exporter.
LOCAL CHARGES borne by the port of origin
Lifting charges, packing charges, port miscellaneous charges, port security charges, bill of lading charges, manifest entry charges, terminal handling charges (THC) or origin surcharge (ORC), sealing charges, customs clearance charges, and so on.
Under FOB terms, all these costs must be borne by the seller. Because FOB terms are FOB, all costs and risks are borne by the seller (seller/shipper) until the goods leave the port of shipment.
LOCAL CHARGESS AT PORT OF DESTINATION including customs clearance and delivery charges.
LOCAL CHARGE borne by the port of destination
Local charges at the port of destination may include customs clearance charges, port maintenance charges, cargo handling charges, storage charges, handling charges, delivery charges, customs duties, etc. In case of ocean freight LCL, there may also be unpacking fee, washing fee, sorting fee, etc. The local cost at the destination port may vary a lot from country to country.
Since FOB terms are FOB, not CIF, there is no doubt that all local charges at the port of destination will be borne by the buyer (buyer/consignee). In fact, for C&F and CIF transactions, all local charges at the port of destination are also borne by the buyer.
LOCAL charges for specific routes
1.AMS U.S. Line Automatic Manifest System Entry Fee: After the 9.11 incident, due to anti-terrorism needs, the U.S. Customs required that containerized goods shipped to the U.S. ports starting February 1, 2003, and their carriers must be loaded in foreign ports at least 24 hours prior to the electronic way through the U.S. set up the “Automatic Manifest System” to the U.S. Customs to submit accurate and complete cargo declarations. U.S. Customs to submit accurate and complete cargo declaration.
2. ENS European Union Line Automatic Manifest System Entry Fee: It is a kind of fee with the AMS fee of the U.S. line, except that ENS targets containers exported to the European Union countries.
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Shipping from China to the USA
When organizing shipping from China to USA, importers often focus solely on the base ocean or air transport rate. However, ignoring local origin and destination fees will quickly ruin your shipping cost calculation. Expenses such as Terminal Handling Charges (THC), documentation fees, and the mandatory AMS entry fee add up fast.
Understanding who pays these specific fees based on your chosen Incoterms is essential for proper freight planning. If you purchase goods on EXW terms, you must pay all origin local charges yourself. Failing to settle these port fees promptly prevents carriers from releasing vital documents, which stalls your US customs clearance. These avoidable administrative holds instantly extend your transit time and delay your freight from China to USA.
By proactively identifying and budgeting for all local port expenses, you ensure a highly predictable and uninterrupted supply chain when shipping from China to the USA.
To learn more about mastering your import budget, read our Complete guide to shipping from China to the USA.
Frequently Asked Questions
What exactly are local charges when shipping from China to the US?
Local charges are fees generated at the origin or destination ports, completely separate from the main ocean or air freight rate. For US imports, these typically include Terminal Handling Charges (THC), customs declaration fees, document processing fees, and mandatory AMS entry fees. Factoring these extra costs into your initial freight planning is essential to prevent unexpected financial surprises when your cargo arrives.
Who is responsible for paying the local origin charges in China?
The party responsible for paying local origin charges depends entirely on your agreed Incoterms. If you purchase goods under FOB (Free on Board) terms, your supplier covers all local port fees in China. However, if you buy under EXW (Ex Works) terms, you must pay for everything, including origin terminal handling, export customs, and local truck delivery to the departure port.
Can unpaid local destination charges delay my US customs clearance?
Yes, failing to pay local charges at the US destination port will severely delay your cargo. Shipping lines will not release your official delivery order or bill of lading until all outstanding port maintenance, unloading, and terminal fees are settled. Without these required documents, border officers cannot complete your customs clearance, leaving your freight trapped at the port and accumulating expensive storage penalties.
Shipping from China to the USA
When organizing shipping from China to USA, many importers mistakenly focus only on the main ocean or air transport rates. However, ignoring local charges at the origin and destination ports will quickly ruin your shipping cost calculation. Expenses such as Terminal Handling Charges (THC), documentation fees, and the mandatory AMS entry fee add up fast.
Understanding who pays these specific fees based on your chosen Incoterms is essential for proper freight planning. If you purchase goods on EXW terms, you must pay all origin local charges yourself. Failing to settle these port fees promptly prevents carriers from releasing vital documents, which immediately stalls your US customs clearance. These avoidable administrative holds instantly extend your transit time and delay your freight from China to USA.
By proactively identifying and budgeting for all local port expenses, you ensure a highly predictable and uninterrupted supply chain when shipping from China to the USA.
To learn more about mastering your import budget, read our Complete guide to shipping from China to the USA.
Frequently Asked Questions About Shipping from China to the USA
What are local charges when shipping from China to the US?
Local charges are the extra fees you pay at the origin and destination ports, separate from your main ocean or air freight rates. When importing from China to the United States, these costs include terminal handling charges, customs declaration fees, and document processing expenses. You must include these port fees in your early budget to avoid surprise bills when your cargo finally arrives.
Who pays for the origin local charges in China?
The person responsible for paying Chinese port fees depends on the shipping terms you agree on with your supplier. If you buy goods under Free on Board (FOB) terms, your Chinese factory pays these origin local charges. However, if you purchase under Ex Works (EXW) terms, you must pay all departure fees yourself. Always confirm your Incoterms before booking your freight.
Can unpaid local destination fees delay my US customs clearance?
Yes, ignoring your local destination charges will severely delay your cargo at the American port. Shipping lines refuse to release your official delivery documents until you settle all outstanding port maintenance and terminal fees. Without these vital papers, you cannot complete your US customs clearance. This traps your inventory at the border and quickly adds expensive storage penalties to your total bill.