As referenced in our latest Freight Report, we are roughly 1 month away from the IMO 2020 effective date, which mandates that carriers must burn 0.5% very low sulfur fuel oil (VLSFO) or operate vessels with exhaust scrubbers to meet IMO 2020 emissions regulations.

In light of the above, carriers have begun implementing various surcharges as a means of maintaining profitability and recouping the costs associated with adherence to IMO 2020.

Please reference the following charts for a list of surcharges currently offered by carrier and alliance:

Asia to U.S. West Coast Ports
Alliance Carrier Filed Charge 20′ 40′ 40′ HC 45′ HC
OA APL Low Sulfur Surcharge (LSS20) $194 $216 $243 $273
OA CMA

CGM

Low Sulfur Surcharge (LSS20) $194 $216 $216 $273
OA COSCO No Filing
OA Evergreen IMO SOX Compliance Surcharge (ISOCC) $173 $192 $216 $243
OA OOCL Fuel Recovery Charge $380 $475 $534 $601
2M Hamburg Sud Environmental Fuel Fee (EFF) $169 $188 $188
2M Maersk Environmental Fuel Fee (EFF) $169 $188 $188 $240
2M MSC No IMO, but will apply GFS $68 $136 $136 $172
2M ZIM No Filing
THE Hapag IMO 2020 Transition Charge (ITC) $130 $260 $260 $260
THE ONE No Filing
THE YML No Filing
Others PIL Low Sulphur Fuel Recovery (LSR) $96 $120 $120
Others SM Lines New Bunker Surcharge $146 $172 $193 $217
Asia to U.S. IPI/MLB via West Coast
Alliance Carrier Filed Charge 20′ 40′ 40′ HC 45′ HC
OA APL Low Sulfur Surcharge (LSS20) $194 $216 $243 $273
OA CMA

CGM

Low Sulfur Surcharge (LSS20) $194 $216 $216 $273
OA COSCO No Filing
OA Evergreen IMO SOX Compliance Surcharge (ISOCC) $173 $192 $216 $243
OA OOCL Fuel Recovery Charge $653 $725 $816 $918
2M Hamburg Sud Environmental Fuel Fee (EFF) $169 $188 $188
2M Maersk Environmental Fuel Fee (EFF) $169 $188 $188 $240
2M MSC No IMO, but will apply GFS $68 $136 $136 $172
2M ZIM No Filing
THE Hapag IMO 2020 Transition Charge (ITC) $130 $260 $260 $260
THE ONE No Filing
THE YML No Filing
Others PIL Low Sulphur Fuel Recovery (LSR) $96 $120 $120
Others SM Lines New Bunker Surcharge $146 $172 $193 $217
Asia to U.S. East Coast Ports
Alliance Carrier Filed Charge 20′ 40′ 40′ HC 45′ HC
OA APL Low Sulfur Surcharge (LSS20) $317 $352 $396 $446
OA CMA

CGM

Low Sulfur Surcharge (LSS20) $317 $352 $352 $446
OA COSCO No Filing
OA Evergreen IMO SOX Compliance Surcharge (ISOCC) $198 $220 $248 $279
OA OOCL Fuel Recovery Charge $766 $958 $1,078 $1,213
2M Hamburg Sud Environmental Fuel Fee (EFF) $282 $314  $314 
2M Maersk Environmental Fuel Fee (EFF) $282  $314  $314  $395 
2M MSC No IMO, but will apply GFS $128  $256  $26  $324 
2M ZIM No Filing
THE Hapag IMO 2020 Transition Charge (ITC) $130  $260  $260  $260 
THE ONE No Filing
THE YML No Filing
Others PIL Low Sulphur Fuel Recovery (LSR)
Others SM Lines New Bunker Surcharge

Shapiro will continue to monitor the situation and provide updates as they become available.