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New Peak Season Surcharge Coming into Effect on March 1st

What is the Peak Season Surcharge (PSS)?
The PSS is an additional charge that shipping lines apply during high-demand periods, such as the peak season before major holidays. This year, the timing of the surcharge will coincide with increasing shipping demand, but it also reflects the shipping industry’s effort to manage rising operational costs.

Why is this being implemented?
While the industry typically applies this surcharge in response to increased shipping demand, the decision to implement the PSS also comes amidst fluctuating cargo volumes. According to recent reports, cargo volumes from China have seen a slight decrease, which may seem counterintuitive whenconsidering a peak season surcharge. However, the surcharge is being implemented to help offset the growing challenges faced by shipping lines, including port congestion, higher fuel prices, and labor shortages.

How will this impact your shipments?
The introduction of the PSS could lead to higher shipping costs for companies that import goods from China and other Asian markets. If your business relies heavily on this trade route, you may see a rise in transportation expenses. These additional charges could impact on your overall logistics budget and may require adjustments in shipping strategies.

We recommend reviewing your upcoming shipments andc onsulting with your logistics partner to better understand how these changes may affect your operations. If you plan to ship during this period, it’s advisable to factor in the added cost of the PSS.

For more information on how the PSS could affect your cargo, please reach out to our team for specific updates.

Stay ahead of the curve and plan accordingly to mitigatecosts.
We remain committed to helping you navigate these changes and providing expertadvice as the shipping landscape develops.

AUTHOR:

Newsletter Team

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