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Revised container dwell fee at ports of New York and New Jersey

The updated container dwell fee at the ports of New York and New Jersy went into effect on Saturday, making it obligatory for carriers to balance their inbound and outbound container volumes, according to sources.

This required ocean carriers to remove 10% more empty containers than their usual import quarterly total. Few carriers expressed concerns over importing more empties to meet the quota. 

December being the first billing month, the Ocean carriers will be charged on a quarterly basis. Ocean carriers are concerned about the equity of the original fee structure, as per a port spokesperson.

An algorithm will tailor the fee to each carrier, with the updated tariff. As per sources, carriers will be billed $100 per container for any empty units that are more than its import and export balance, at the end of each quarter.

Carriers will be required to clear an increasing portion of their excess empty containers. In the first quarter of next year, carriers will have to clear 25% of their excess empties, with an additional 25% increase each quarter throughout the year. By the end of next year, all empty containers should be cleared, as per sources.

With the dwell fee being announced in August, the port has seen a 10.5% decline in aging containers. More shippers have called on the port to avoid West Coast congestion, and more than 200,000 empty containers have accumulated on docks since the start of this year.

sweeper vessels are being sent by carriers to collect empty containers, and at least 10 are scheduled to visit the port in October, as per sources.

(Disclaimer: supplied news)

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