Unexpected Terminal Handling Charges (THC) UK from China

[Dmurray1]

Hi all,

New to the site - First post.

I have items arriving in the UK at the end of January. I have been sent the bill from the port handlers and there significant charges for ESC (Emergency Contingency Surcharge), LSS (Low Sulphur Surcharge) & CAF (Currency Adjustment Factor). I have not previously paid for any of this via Felixstowe Port. However, this time around the items are arriving at Southampton Port. It might be plain nativity or sheer luck that I have not been previously charged these fees.

ESC - I do find it baffling that the ports can charge for this. ESC charges cover effects like congestion, bottlenecks, missed sailings, equipment shortages etc. I do have a 'not my problem' attitude towards this.

CAF - I have read online that CAF is usually between 1-10% of the valuation of the cargo. In my case it is ~15%. I have read numerous pages online to understand how it is calculated and I am still of the opinion I am being way over charged. Potentially the fault of the shipper from China.

LSS - I can kind of except this, just another tax we end up paying for the 'dirty fuel' the cargo ships burn.

My questions: Are these charges normal? Have I merely been unlucky? Do these charges lay with someone other than myself; ie. the freight forwarder/ shipping agent in China?

The shipment was supposedly sent CIF (Cost, Insurance, and Freight). I am beginning to question it.

Importing items to the UK seems to be a bit like the wild west. I do appreciate there are a number of things you can be charged for that other times you may potentially get away with. Best example I have heard of is, if they x-ray your container, they charge you for the privilege.

Thanks for any information/advice in advance.

 

[Martin Winlow]

Hmmm... all sounds very familiar to me! See my post from a while back: https://www.ukbusinessforums.co.uk/...port-agent-run-by-crooks.420498/#post-3196779 - some useful input from members there.
Bottom line is that you should endeavor to get one reputable agent to handle it from start to finish and then you will get a quote at the beginning that should (all things being equal) be honored...

 

[MikeFoulds]

I am guessing the shipment is an LCL shipment rather than a full container?

If so, unfortunately your supplier has taken advantage of an extremely favourable freight rate, which has meant that the balance of costs passed forward to yourself. The UK co-loader is having to cover the low (Sometimes negative freight rate) paid in China, and therefore charges every charge they can think of at invented rates, to cover the costs and make a profit,

I would always recommend purchasing cargo on a FOB basis, thereby you get to control the freight and UK costs are agreed in advance, therefore you can budget accurately, otherwise it is a complete lottery as to what you might have to pay.

If I'm wrong, and this is a FCL load, then the UK agent you are using is taking the mickey, and charging unreasonably and I'd push back and ask to see the invoice from the shipping line.

 

[NickZ]

Have you gone to Southampton and tried to find a solution with Custom Agents there?
Phone calls, personal appearing changes much more than an email.

I have not previously paid for any of this via Felixstowe Port. However, this time around the items are arriving at Southampton Port.

 

[fisicx]

Have you gone to Southampton and tried to find a solution with Custom Agents there?
Phone calls, personal appearing changes much more than an email.

Have you ever been to Southampton docks? It’s huge! The chances of first finding and then accessing the correct offices are close to zero.

 

[NickZ]

Have you ever been to Southampton docks? It’s huge! The chances of first finding and then accessing the correct offices are close to zero.

Difficulties are there to overcome those. A Phone-call with hint on where to get to them.
Moreso customs will like the effort on finding them

 

[fisicx]

Difficulties are there to overcome those. A Phone-call with hint on where to get to them.
Moreso customs will like the effort on finding them

You clearly don’t live in the UK.

 

[NickZ]

You clearly don’t live in the UK.

true, not any more.
Just because a place is harder to locate it shouldn't be a reason to avoid an approach.

 

[CHUKTC]

As Mike Foulds has corectly said it seems likely this is an LCL load and there is a massive scam operated by many Chinese sellers unfoirtunately where they offer very tempting low freight rates only to load all the costs onto the co agent handling clearance and unloading UK end. There is lots written abourt this on here by myself and others.
This advise is never ship LCL arranged from China end. The best way as Mike says is to purchase FOB and use a reputable agent to handle shipping clearance AND delivery and who will give you a final prce delivered to your door before you purchase - so you know exactly what the costs are. It's the only way we will ship LCL loads for our customers.