WHAT IS THE EBS FEE?

1. Learn about EBS phí fees

EBS is an acronym for "Emergency Bunker Surcharge", which is understood as a fuel or fuel surcharge for cargo routes to Asia. This term is commonly used in ocean freight. The purpose of EBS fee collection is to make up for lost costs for shipping lines due to fluctuations in petroleum prices in the world. This cost is charged for shipping within Asia region, not applicable in local charges.

EBS fees have been applied since the oil price shock occurred (1970), making a strong impact on shipping costs. At that time, this surcharge was implemented as a feature to help shipping lines maintain stable operations. In fact, the price of raw materials/petrol is always fluctuating and with the type of sea transport, this is greatly affected. In the event that there is no offset fee at all, fluctuations in gasoline prices occur, shipping lines will face many difficulties because they cannot change freight rates. The additional fuel surcharge has somewhat flexibly solved this situation.

The EBS fee will be determined by each carrier, usually this surcharge is calculated as a percentage of sea freight or a specific amount per cubic meter, a ton of cargo or can also be aggregated for each container. There are also shipping lines that will reduce this fee during the time when petrol / fuel prices decrease.

2. Who pays EBS costs?

First of all, EBS charges will be applied to shipments within Asia. Other areas will have different names. Second, the EBS payment can be flexible as the shipper or the buyer. This issue we need to clarify in the commercial contract. After agreeing on who will pay the fuel surcharge, transportation and customs procedures proceed as usual. In case the contract does not specify how much EBS fee is, it will be calculated based on the notice from the shipping line. The regulation of who pays the fuel surcharge may be based on the import conditions. For example, if the entry condition is FOB, the buyer will have to pay the EBS fee.

Some information about the EBS fuel surcharge that Ant Log has compiled above is hopefully useful to you. Alternatively, for additional advice on additional fees or clearance services required, contact Ant Log. Our experts are always ready to assist you!