Update January 7, 2025: New Surcharges from Major Carriers Amid Potential ILA Strike
In addition to major carriers such as Maersk Line, CMA CGM, and Hapag-Lloyd, which had previously announced emergency surcharges, today other major carriers like EMC, YML, and ZIM have also introduced strike surcharges in response to the potential ILA strike.
1. Potential ILA Strike and New Surcharges Effective January 2025
As of January 7, 2025, several key shipping carriers have announced port congestion surcharges (PCS) and equipment positioning charges (EPC), anticipating a potential labor strike that could severely impact logistics operations. The strike stems from the expiration of the International Longshoremen’s Association (ILA) and United States Maritime Alliance (USMX) contract, which is set to end on January 15, 2025.
This update is crucial for all importers and exporters, especially those relying on shipping via U.S. East Coast ports, as well as users of the Panama Canal, who should prepare for possible delays and increased freight costs. Major carriers such as EMC, YML, and ZIM have outlined specific surcharges that will come into effect on January 10, 2025, impacting both imports and exports.
2. Table of Surcharges by Carrier
The following table highlights the surcharges implemented by several major carriers as of January 2025. These fees will vary depending on the container type and the specific routes involved.
Carrier | Charge Code | 20GP | 40GP | 40HQ | 45HQ | Effective Date | Origin/From | Destination/To |
EMC (Import to US) | EPC | 2400 | 3000 | 3000 | 3000 | 1/10/2025 | All Origins | USEC/USGC |
EMC (Export from US) | EPC | 2400 | 3000 | 3000 | 3000 | 1/10/2025 | USEC / USGC | All Destinations |
HPL | WDS | 850 | 1700 | 1700 | 1700 | 1/20/2025 | All Origin | USEC/USGC |
YML (Import to US/CANADA) | PCS | 800 | 1000 | 1125 | 1266 | 1/15/2025 | All Origins | USEC/USGC |
YML (Export from US) | PCS | 800 | 1000 | 1125 | 1266 | 1/15/2025 | USEC / USGC | All Destinations |
ZIM (Import to US) | PCS | 1000 | 2000 | 2000 | 2000 | 1/10/2025 | All Origins | POD at US Port |
ZIM (Export from US) | PCS | 1000 | 2000 | 2000 | 2000 | 1/10/2025 | POL at US Port | All Destinations |
Note: The effective date is based on the Last Container Gate In Date.
3. Potential Impact of the ILA Strike on Global Supply Chains
With the looming threat of a strike on the U.S. East Coast, importers and exporters alike must brace themselves for significant disruptions. The surcharge increases will add additional costs to already burdened logistics chains, especially for businesses relying on the Panama Canal and trans-Pacific routes.
Companies exporting from or importing to the United States, particularly via the East Coast and Panama Canal, may face port delays and operational slowdowns. The port congestion surcharges are designed to offset the financial impact on carriers in the event that the strike materializes.
Learn more: ILA Strike Threat, Panama Canal Tariffs, and Freight Trends
4. Air Freight: Rising Demand and Costs
On the air freight side, prices continue to climb, fueled by high demand from the Asia-Pacific region. This upward trend is expected to persist through the first quarter of 2025, making it vital for businesses to remain agile and explore alternative logistics strategies to keep costs manageable.
5. Real Logistics: Supporting Your Business Through 2025
As the logistics landscape becomes more complex with potential strikes and increasing surcharges, Real Logistics is committed to helping businesses optimize their shipping strategies. Whether it’s providing customs clearance, air freight, or sea freight services, our team ensures that your cargo moves smoothly, even during challenging times. Stay updated and let Real Logistics guide you through 2025’s shipping uncertainties.
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