February 20, 2018 1:15 PM, EST

Steamship Line Hapag-Lloyd Raises Fees

Cargo Between US, Canada Subject to Carbon Tax
Hapag-Lloyd ship at Port of Los Angeles Patrick Fallon/Bloomberg News

Steamship line Hapag-Lloyd will increase fees to transport freight to the United States and cross-border freight from Canada.

Cargo between Canada and the United States will be subject to a carbon tax.

In response, Canadian Pacific Railway and Canadian National Railway adjusted their tariffs to customers. On certain moves, known as store-door deliveries, the steamship line is the customer because the cargo owner will pay one rate to cover the entire supply chain, door to door. In these cases, Hapag-Lloyd has passed the charges onto the cargo owners, effective Feb. 13.

The fees apply on cargo leaving the ports of Montreal, Halifax and Vancouver and arriving in Chicago, Detroit, Indianapolis, Minneapolis and Memphis, Tenn., varying in amount between $3.59 and $11.26 per container based on distance.

Cargo owners moving containers from the Port of New York and New Jersey to Montreal are billed 28 cents per container, and to Toronto a $4.40 fee.

Hapag-Lloyd also announced new rates effective March 15 on freight between East Asia and North America. The ocean carrier plans to charge $630 for a 20-foot container, $700 for a 40-foot container and $886 for a 45-foot container.