10+2 - the 10+2 is a U.S. Customs required paperwork that needs to be transmitted at least 24 hours prior to an ocean shipment’s departure.
Acceptable Quality Limit (AQL) - An acceptable quality limit (AQL) is a statistical sampling process based on lot size that is the worst tolerable process average ratio that is still considered acceptable.
Annual Customs Bond - An annual Customs bond is a U.S. Customs bond that is effective over the course of a 12 month period.
Antidumping Duties (AD) - Antidumping duties (AD) are intended to protect the U.S. manufacturing industry from foreign manufacturers. Dumping occurs when foreign manufacturers sell goods in the U.S. at less than fair value.
Automated Manifest System (AMS) - An Automated Manifest System (AMS) is an electronic system that automates part of the customs clearance process.
Bill of Material (BOM) - A bill of material (BOM) is an itemized list describing each component and quantity in the device. It’s the recipe for your product and a great tool for calculating costs.
Carrier - A carrier is the airline, ocean line, or trucking company that transports shipments from one place to another.
CFS Charge - the CFS charge covers the handling of shipments at the destination port.
Chassis - a chassis is the base frame that supports the body of the vehicle.
Chassis Fee - the chassis fee is the additional charge for renting the chassis to support and transport full container loads.
Clean Truck Fee - the clean truck fee is the additional charge incurred in Long Beach, CA, for retrofitting trucks to reduce carbon emissions and pollution.
Closing Date - the closing date is the date by which you have to deliver the goods to the port or warehouse, lest you incur additional charges.
Co-loader - the co-loader is the master loader who allocates the space for an LCL shipment.
Container Freight Stations (CFS) - a container freight station (CFS) is where shipments are examined and weighed prior to being loaded onto the plane, ship, or truck for transport.
Continuous Customs Bond - A continuous Customs bond is a U.S. Customs bond that is effective over the course of a 12 month period.
Countervailing Duties (CVD) - Countervailing duties (CVD) are intended to protect the U.S. manufacturing industry from foreign manufacturers. Countervailing cases are when a foreign government provides enough subsidies and tax benefits for their manufacturers to sell their goods cheaper than can U.S. manufacturers.
Customs Clearance - Customs clearance refers to clearing shipments through U.S. Customs; usually a service performed by the freight forwarder or the customs broker.
Delivery Authorization Document (DAD) - the delivery authorization document (DAD) authorizes pickup of a shipment by a named party. It is required to be presented at the time of pickup.
Delivery Charge - the delivery charge refers to the fee for picking up and delivering a shipment from the domestic port or airport to the final destination.
Delivery Order (DO) - the delivery order is a document that authorizes pickup of a shipment by a named party. It is required to be presented at the time of pickup.
Destination Delivery Charge (DDC) - the destination delivery charge (DDC) covers the handling of shipments at the destination port.
Drayage - drayage is the movement of shipments over a short distance, such as from a warehouse to the port or vice versa in the same urban area. It is usually capable of being accomplished in one work shift. Drayage is often used to refer to the fees involved in such movements of shipments. If a shipment moves inland to be cleared at a point closer to the final destination instead of at the port it arrives at, then drayage will need to be carried out by a bonded carrier, one licensed to move goods that have not cleared customs yet.
Drayage Charge - the drayage charge refers to the fee for picking up and delivering a shipment from the domestic port or airport to the final destination.
Drop and Pull - a drop and pull is when the trucker delivers the goods to the destination and leaves the container for a few hours before returning it to the warehouse.
Estimated Time of Departure (ETD) - the estimated time of departure (ETD) is when a shipment is expected to leave the port of origin.
Ex-Works - Ex-Works is an incoterm (term of sale) that requires the buyer to be responsible for arranging for someone to pickup the shipment from the supplier’s warehouse or factory and for arranging transit to the final destination.
Forklift - forklifts are used to move cargo around at the destination warehouse.
Fuel Surcharge (FS) - a fuel surcharge typically accounts for the cost of the fuel used by the carrier.
Full Container Load (FCL) - a full container load is a shipment that is sizable enough to fit in an entire container for transit. Containers can be 20′ or 40′, denoted as FCL 20′ or FCL 40′, respectively.
Handling Fee - the handling fee is part of the arrival agent fee for processing part of the shipment; may be for miscellaneous duties.
Harbor Maintenance Fee (HMF) - the harbor maintenance fee (HMF) is an additional charge of 0.125% of a shipment’s value, by U.S. Customs for ocean shipments entering the U.S.
Importer Security Filing (ISF) - the Importer Security Filing (ISF) is a U.S. Customs required paperwork that needs to be transmitted at least 24 hours prior to an ocean shipment’s departure.
ISF Bond - an ISF bond is a unique bond issued in conjunction with the ISF if an annual customs bond is not already on file for the importer.
Lane - a lane is the route the ocean freight will use to move shipments from the origin to the destination.
Last Mile Delivery - the last mile delivery charge refers to the fee for picking up and delivering a shipment from the domestic port or airport to the final destination.
Less Than Container Load (LCL) - a less than container load (LCL) worth of goods refers to shipments that are not large enough to fill a full container and thus must be consolidated and shipped along with other shipments going the same route.
Loose Cargo - loose cargo means that master cartons are not palletized. For air shipments, loose cargo optimizes the plane’s cargo capacity.
Master Carton (MC) - a master carton is a box or bundle that contains one or more units of a product. This term is usually used in packaging instructions for labeling and preparations at fulfillment or distribution centers.
Merchandise Processing Fee (MPF) - the merchandise processing fee (MPF) is the U.S. Customs charge of 0.3464% of value (minimum $25, maximum $485) for all imports entering the U.S.
Messenger - a messenger couriers paperwork between freight forwarders or customs brokers and ports or airlines.
Ocean Freight (OF) - ocean freight (OF) is the cost-per-weight measure of transporting goods across the ocean.
Origin Receiving Charge (ORC) - the origin receiving charge (ORC) is a typical fee for full container handling at the origin’s port of departure.
Pallet Exchange - when a trucker picks up a shipment, they often need to bring pallets to exchange for the goods (which are strapped to the carrier’s pallets). If they do not bring pallets, there will be a Pallet Exchange fee.
Pier Pass Fee - a Pier Pass fee is a terminal charge typically in Long Beach, CA, that allows truckers to pick up shipments by appointment during business hours.
Port of Departure (POD) - the port of departure (POD) is the port where the shipment will be loaded onto the plane, ship, or truck.
Port of Lading (POL) - the port of lading (POL) is the port where the shipment will be loaded onto the plane, ship, or truck.
Port Security Fee (PSF) - the port security fee (PSF) is an additional charge for security documentation.
Security Charge (SC) - the security charge (SC) is an additional charge for security documentation.
Single Entry Customs Bond - a single entry customs bond is a U.S Customs bond that is only good for clearing one shipment.
Stripping fee - the stripping fee covers the handling of shipments at the destination port.
Telex Release - a telex release is an electronic freight release from the seller.
Terminal Fuel Surcharge (TFSC) - a terminal fuel surcharge (TFSC) typically accounts for the cost of the fuel used by the carrier.
Terminal Handling Charge - the terminal handling charge covers the handling of shipments at the destination port.
Tradelane - a tradelane is the route the ocean freight will use to move shipments from the origin to the destination.
Transit Time (TT) - the transit time (TT) is the travel time between the shipment’s departure from the origin and its arrival in the final port.
Unloading - unloading typically refers to the removal of shipments from a truck, ship, or plane.
Via - via is used to signify a trans-ship point, indicating the specific ports a ship will route through to reach its final destination. For example, a shipment may route from Bali to Long Beach, CA, via Hong Kong.
Weight Measure (WM) - weight measure is the unit of measurement used for air or ocean freight rate calculations.
Wharfage Fee - the wharfage fee covers the handling of shipments at the destination port.