In reaction to the ongoing historic container port congestion, the Biden Administration announced on October 25th that effective November 1, 2021, the ports of Los Angeles and Long Beach will begin charging an “emergency fee” on all long dwelling cargo.

  • The fee will be applied to all containers that remain at the terminal for 9 days or more and rail containers for 3 days or more.
  • The cost is $100 per container on the first day past the set dwelling limit for terminal or rail and will increase by $100 increments for each day that follows (i.e., $200 for day 2, $300 for day 3 and so on).

As directed by the President’s Task Force, the ports of Los Angeles and Long Beach will be responsible for collecting the fees, with the revenue slated to be reinvested toward port efficiency and infrastructure programs. The goal will be to mitigate any future LA/LB port complex congestion challenges.

Given the short notice period for this new surcharge, much of how the cost will be charged and in turn collected is still to be determined.

 

Read the full article here.

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