Adjustment of Maersk surcharges, changes in costs for the route from mainland China and Hong Kong to IMEA

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Time of issue：

2024-11-29 17:11

　Maersk recently announced adjustments to surcharges for routes from mainland China and Hong Kong to IMEA (Indian Subcontinent, Middle East, and Africa).

　　The ongoing fluctuations in the global shipping market and changes in operating costs are the main background factors for Maersk's surcharge adjustments. As the global trade landscape continues to evolve, with factors such as fuel price volatility and changes in port operating costs, shipping companies need to adjust surcharges to balance income and expenses and maintain operational sustainability.

　　Types of surcharges involved and adjustment details

　　Peak Season Surcharge (PSS):

　　The peak season surcharge for certain routes from mainland China to the IMEA region will be increased. For example, the route from Shanghai to Dubai will see the peak season surcharge rise from $200 per TEU (20-foot standard container) to $250 per TEU. The adjustment aims to address the increase in cargo volume during specific periods and the relative tightness of transport resources, allowing for better resource allocation to ensure timely delivery and service quality.

　　The peak season surcharge from Hong Kong to the IMEA region is also subject to adjustment. For instance, the surcharge for the route from Hong Kong to Mumbai will increase from $180 per TEU to $230 per TEU.

　　Bunker Adjustment Factor (BAF):

　　Due to fluctuations in international fuel market prices, Maersk will dynamically adjust the bunker adjustment factor for routes from mainland China and Hong Kong to the IMEA region based on the fuel price index. For example, on the route from Shenzhen to Jeddah, if fuel prices rise beyond a certain percentage, the bunker adjustment factor will increase accordingly. Assuming the previous bunker adjustment factor was $150 per TEU, it may be adjusted to $180 per TEU following a rise in fuel prices to offset the operational cost pressure from increased fuel costs.

　　Implementation timeline for adjustments

　　Maersk plans to officially implement these surcharge adjustments starting December 1, 2024. From that date, all new bookings will be subject to the new surcharge standards, while previously confirmed bookings will still be charged according to the original surcharge standards.

Freight forwarding, freight forwarder, Maersk surcharges

　　Impact on shippers and freight forwarders

　　Increased costs: The most direct impact for shippers and freight forwarders is the rise in transportation costs. Whether for companies engaged in import and export trade or professional freight forwarding companies,they will need to reassess transportation costs and consider how to reasonably share these additional costs in contracts with clients. For example, a company exporting clothing may have originally budgeted $1,000 per container (including original surcharges) for transportation from mainland China to the Middle East, but after Maersk's surcharge adjustments, the transportation cost may increase to around $1,100 per container, which will compress the company's profit margins or require negotiations with clients to raise product prices.Adjustment of route selection

　　: Shippers and freight forwarders may consider adjusting their route selections or modes of transport. Some shippers may look for other shipping companies that offer more competitive prices or consider a combination of land and sea transport to reduce costs. For instance, shippers located near Central Asia with less stringent time requirements may first transport goods overland to a port in Central Asia and then choose a suitable shipping company from there to the IMEA region to avoid the cost pressures from Maersk's surcharge adjustments.：货主和货代可能会考虑调整航线选择或运输方式。一些货主可能会寻找其他提供更具竞争力价格的航运公司，或者考虑通过陆运与海运结合的方式来降低运输成本。例如，对于一些靠近中亚地区且货物时效性要求不高的货主，可能会先将货物通过陆运运输到中亚的某个港口，再从那里选择合适的航运公司运往 IMEA 地区，以避开马士基此次附加费调整带来的成本压力。

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