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What are the fees for EBS, CIC and ECRS in shipping?

May 15, 2019

What is the EBS fee?

EBS is an acronym for Emergency Bunker Surcharge, which stands for Emergency fuel Surcharge.EBS is a surcharge on sea freight and is generally settled in us dollars like sea freight.In the case of FOB, this cost should be borne by the consignee, not the consignor, because EBS is not a local FOB cost.This fee can be paid in cash or prepaid.

EBS generally refers to a surcharge temporarily imposed by a shipping company in order to make up for the rapidly rising cost when the international crude oil price rises rapidly and the shipping company feels that it is beyond its bearing capacity.

Fees may vary according to different periods, ports of destination and shipping companies.They are generally adjusted for fluctuations in the international price of crude oil and may be cancelled as soon as possible.

 

What is CIC fee?

CIC is a acronym for Container Imbalance Charge.Sometimes also known as Container Imbalance Surcharge.As the name suggests, this charge is caused by the imbalance of trade volume or seasonal change, which leads to the imbalance of cargo flow and containers. In order to make up for the cost of transporting empty containers, the shipping company adds a surcharge.

China has always encouraged exports (export rebates...Restrictions on imports (taxes on imports...), resulting in a serious imbalance between exports and imports.For example, in a certain period of time, all container goods exported from China to the United States (mainly general industrial products such as clothing, shoes and hats, daily necessities) use 1 million containers, while the products exported from the United States to China (mainly high-tech products) use far less than 1 million containers.To increase container utilization, shipping companies have to ship some empty containers back to China (U.S. exports to China don't have as much capacity).B: because China USES more cases and America USES less.

The same problem exists in the routes from China to southeast Asia and from China to Europe.

2, the seasonal change of shipping container cargo transport will also lead to significant imbalance of cargo flow, North America, Europe and other western countries is usually the beginning of the year belongs to the transport season, after four or five began to increase, to Christmas before the formation of the transport climax, trade increased.

3. In fact, not only China, but the entire east Asian region exports significantly more goods to North America and Europe than North America and Europe imports to China and other east Asian countries.There are problems of imbalanced import and export containers in the routes of far east - North America, far east - Europe, east Asia - southeast Asia and Australia.This is not only related to the imbalance in international trade, but also has a lot to do with the type and nature of goods.

What is ECRS?

ECRS stands for Emergency Cost Recovery Surcharge.The cost of the most TM baffling, literally is a cloud in the fog, what the hell?

Until now I have not fully understood, some people say that ECRS can be called "severe weather operation surcharge" - such as bad weather conditions caused a significant increase in shipping and operating costs, and so on, will be added to this bizarre fee.

Who should bear the cost?Is it a freight surcharge or FOB local charges?The view is differ, have a plenty of consignor pays, have a plenty of consignee pays.The author is talented and ignorant, seek great god to give directions maze!Mua!!!

Overlord fees?

Whether the EBS fee, CIC fee or ECRS fee has always been controversial.

Some people say that these are the overlord fees of the shipping company, they call the shots - want to collect, the shipper basically only accept the share, no voice.

There are various surcharges for shipping companies to earn higher profits.Also CAS -- Currency Adjustment Surcharge, Deviation Surcharge, Direct Additional Surcharge, GRI -- General Rate Increase comprehensive Surcharge, PSS -- Peak Season Surcharges, TAR Temporary AdditionalRisks temporary risk surcharge at least dozens of types!The shipping company is liable to collect this and that fees as if they were levies.


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