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Effective September 1, 2024, TMF Ports will implement a 6% increase in port fees, a move designed to accommodate rising operational costs and infrastructure investments. This change will affect a broad spectrum of maritime stakeholders, from shipping lines to logistics providers, and has significant implications for the cost structures of goods movement.

Understanding the Fee Increase

TMF will be $37.71 per TEU (twenty-foot equivalent unit) or $75.42 for all other size containers. The TMF is charged on non-exempt containers. Containers exempt from the TMF include empty containers; import cargo or export cargo that transits the Alameda Corridor in a container and is subject to a fee imposed by the Alameda Corridor Transportation Authority; and transshipment cargo. Empty chassis and bobtail trucks are also exempt.

The OffPeak program provides regularly scheduled night or weekend shifts to handle trucks delivering and picking up containers at the 12 container terminals in the two adjacent ports. PierPASS launched the OffPeak program in 2005 to reduce severe cargo related congestion and air pollution on local streets and highways around the Los Angeles and Long Beach ports. More than 63 million truck trips have been diverted to the off-peak shifts since the program’s inception. The container terminal operators mitigate truck traffic at their gates with appointment systems.

The TMF helps offset the cost of operating extended gate hours. Labor costs are the largest single component of extended gate costs.

About PierPASS

PierPASS is a not-for-profit company created by marine terminal operators at the Port of Los Angeles and Port of Long Beach to address multi-terminal issues such as congestion, air quality and security. The West Coast Marine Terminal Operator Agreement (WCMTOA) is filed with the Federal Maritime Commission and comprises the 12 international MTOs serving the Los Angeles and Long Beach ports. For more information, please see www.pierpass.org.

Impact on Shipping and Logistics

The port fee increase is expected to have a ripple effect throughout the supply chain. Shipping companies and freight forwarders will need to account for the higher costs in their pricing structures, which could lead to increased transportation costs for end customers. As a result, businesses that rely on TMF Ports for their import and export activities will need to review their budgets and adjust their financial forecasts accordingly.

Baum Shipping’s Drayage Service Integration

Considering the upcoming fee adjustments, Baum Shipping is introducing an enhanced drayage service to help manage the impact on its clients. Drayage—the transportation of goods over short distances, typically from a port to a warehouse or distribution center—plays a crucial role in the logistics chain. With the new port fees set to take effect, efficient drayage services will become even more essential for mitigating costs and ensuring timely delivery.

Baum Shipping’s expanded drayage offerings are designed to streamline the process and provide added value to its customers. The company will be leveraging its extensive network and advanced logistics technology to optimize routes, reduce delays, and maintain competitive pricing despite the increased port fees.

Key features of Baum Shipping’s enhanced drayage service include:

• Optimized Routing: Advanced route planning to minimize transit times and costs.
• Real-Time Tracking: Enhanced tracking systems for greater visibility and reliability.
• Flexible Scheduling: Adjusted scheduling options to accommodate varying needs and avoid congestion.
• Integrated Solutions: Seamless coordination with TMF Ports to ensure efficient cargo handling.

For your shipping needs, experience our excellent drayage service solutions, call us at (800) 383-3157 or request a quote. We’re excited to serve you soon!