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International Shipping
FMC wants ocean carriers to pay for container storage
Date:2022-08-10 Readers:
OCEAN carriers should not force shippers and truckers to pay storage costs for containers, says US Federal Maritime Commission (FMC) chairman Dan Maffei, reports New York FreightWaves.

"The FMC has already been investigating reports of carriers charging per diem container charges even when the shipper or trucker cannot possibly return the container due to terminal congestion," said Mr Maffei.

"I will ask that this investigation be broadened and intensified to cover instances where shippers and truckers are being forced to store containers or move them without proper compensation," he said.

The National Industrial Transportation League and Bi-State Motor Carriers Association last week urged the FMC to suspend demurrage and detention as congestion worsened as import volumes spiked.

Mr Maffei and the agency's acting director of the Bureau of Enforcement, Investigations and Compliance, Lucille Marvin, followed up with a visit to the Port of New York and New Jersey to see conditions firsthand.

"When ocean carriers continue to bring thousands of containers per month to a port and only pick up a fraction of that number, it creates an untenable situation for terminals, importers and exporters, trucking companies and the port itself," Mr Maffei said.

Carriers most behind in picking up their empty containers will be asked for a plan to get caught up.

"I will do everything in my power to ensure that carriers do not receive involuntarily subsidised storage for empty containers that belong to them," said Mr Maffei.

"If it can be shown that a shipper or a trucker is not allowed to return a container then, not only should they not be charged per diem, but the carrier should compensate that trucker for the space it takes up," he said.

As record-breaking containership queues threaten to tie up ports around the country ahead the of the fall peak shipping season, the Port of New York and New Jersey announced it will be charging ocean carriers a US$100 per-container fee on long-dwelling import or export containers effective September pending a mandatory 30-day federal notice.

https://www.shippingazette.com/menu.asp?encode=eng

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