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Ports of LA and Long Beach keep Container Dwell Fee on hold

Ports of LA and Long Beach keep Container Dwell Fee on hold
Port of Long Beach

The ports of Los Angeles (LA) and Long Beach will delay consideration of the Container Dwell Fee until January 10 as the amount of aging cargo on the docks declines.

Although the ports have recorded a 35% decline in aging cargo on the docks since the programme was announced on October 25, 2021, year-end holidays have, as expected, slowed the progress compared to previous weeks.

The executive directors of both ports will reassess fee implementation after monitoring data over the next week.

Free implementation has been postponed by both ports since the programme began.

Under the temporary policy approved October 29, 2021, by the Harbour Commissions of both ports, ocean carriers can be charged for each import container that falls into one of two categories.

These categories include every container scheduled to move by truck that has dwelled at the port for nine days or more and, for containers moving by rail, ocean carriers could be charged if a container has dwelled for six days or more.

Currently, no date has been set to start the count with respect to container dwell time.

The ports plan to charge ocean carries in these two categories US$100 per container, increasing in US$100 increments per container per day until the container leaves the terminal.

Before the pandemic-induced import surge began in mid-2020, on average, containers for local delivery remained on container terminals under four days, while containers destined for trains dwelled less than two days.

The ports noted that any fees collected from dwelling cargo will be reinvested for programmes designed to enhance efficiency, accelerate cargo velocity and address congestion impacts.