Nov 16, 2021 - Update 4
As previously communicated, the Port Authorities of Los Angeles and Long Beach had effective the 25th of October provided it’s notice of intention to start billing a “Container Excess Dwell Fee” commencing the 15th of November. The fee would go into effect should the ports not see a material improvement in the clearance of long dwelling containers at the terminals.
This advisory serves as a notification to inform customers of the decision by the Port Authority to delay the introduction of the fee by a week until the 22nd of November. Port of Los Angeles Executive Director Gene Seroka was quoted in saying “There’s been significant improvement in clearing import containers from our docks in recent weeks”. In fact, since the fee was announced on the 25th of October, they have seen a decline of 26% on the combined ageing of cargo on their docks.
Maersk continues to explore different options in moving longstanding containers to help customers mitigate exposure to this new government fee. This includes but is not limited to the railing of long dwelling cargo to inland points in cooperation with our railroad partners. We ask for your continued support in prioritizing the pickup of ageing cargo in Long Angeles and Long Beach as we work to decongest the marine terminals and with that allow vessels to discharge your freight.
Nov 12, 2021 - Update 3
As the November 15th effective billing date on the new Container Excess Dwell fee looms, Maersk is aggressively working on developing as many solutions as possible for our customers. However, we still have many containers over 9 days inside the terminals, so we are in the process of securing additional land outside the marine terminals to offer extended storage solutions. If you have difficulty picking up your cargo, please reach out to your customer service representative to review which containers should be drayed to an off-dock location and we will make every effort to assist you.
FAQ's - Updated
Nov 1, 2021 - Update 2
As a follow up to the advisory sent on Oct 27th found here, and as it pertains to the new government mandated PSW Emergency fee, this update will serve to provide you with the most frequently asked questions for the matter at hand. It must be noted that we are still actively working with both regulators and the port of Los Angeles and Long Beach alike to gain a full understanding of all the issues at hand and as more information becomes available, trust we will do our utmost to keep you informed.
Oct 27, 2021 - Update 1
As terminal congestion at the ports of Los Angeles and Long Beach reach historical levels, The Biden Administration announced on October 25th that effective the 1st of November 2021, the ports of Los Angeles and Long Beach will begin charging an “emergency fee” on all long dwelling cargo.
- The fee will be applied to all containers that remain at the terminal for 9 days or more and rail containers for 6 days or more.
- The cost is $100 per container on the first day past the set dwelling limit for terminal or rail and will increase by $100 increments for each day that follows (i.e., $200 for day 2, $300 for day 3 and so on).
As directed by the President’s Task Force and in concert with the directive, the ports of Los Angeles and Long Beach will be responsible for collecting the fees, with the revenue set to be reinvested toward long term port efficiency and infrastructure programs that will help mitigate any future congestion challenges in the San Pedro Bay area. Given the 7-day notice period, much of how the cost will be charged and in turn collected is still to be determined. More will be shared in the coming days as we approach the 1st of November start date.
Naturally we understand this puts all parties involved in a rather difficult situation as truck, chassis and warehouse capacity are all extremely stretched. Rest assured, we are aggressively working on several solutions to help mitigate some of the impacts. We will continue to keep you informed on all developments over the coming days.