News Updates

Return to Newsletter Index

DGX - Dependable Global Express


The following rate changes apply by origin/destination, respectfully:


Rate Changes








USA West, Gulf, and East Coasts to Australia/New Zealand

FCL: $200/20' $400/40' LCL: $8WM



US East Coast or Gulf Coast to Asia/FarEast and US West Coast to Asia/FarEast


FCL $240/20' $300/40' LCL $6WM




ALL US Origins to Asia, Middle East and Far East destinations

FCL: $80/20' $100/40'&45'




Low Sulfur Surcharge (LSS) Increase



For cargo loading from the USA and Canada, from both WC and EC to AUS/NZ, Fiji, Tahiti and Papua New Guinea destinations


FCL: $21/20` $42/40` LCL: $1 WM (remains the same)


EFAF/BAF Increase



USA West, Gulf, and East Coasts to Australia/New Zealand


FCL:  $338/20’ $676/40’

LCL: $10 WM (remains the same)



Hanjin Receivership


The Hanjin receivership is causing widespread disruption to supply chains in the U.S. and elsewhere.  While a bankruptcy filing is expected in the U.S. (and ship-owners have already filed claims in the U.S. against Hanjin in light of Hanjin’s filing), the receivership was filed in South Korea.  Given the breadth and scope of Hanjin’s operations, our contacts indicate that the proceedings will take time to develop to the point where specific operational guidance is available. In any event, it remains to be seen whether and to what extent commercial parties in the U.S., and other foreign jurisdictions will abide by any guidance provided by a South Korean court. 


In the interim, commercial parties are choosing how to address the filing with little or no guidance.  As such, reports are that terminal operators are refusing to load or offload Hanjin vessels.  With respect to cargo and containers that are already located in the U.S., we are hearing that container yards are refusing to accept the return of Hanjin empties, which is causing drayage carriers to refuse to retrieve cargo in Hanjin containers for delivery. 


All of this is causing problems for the transportation companies in numerous ways, including the following:

1.    Hanjin “House” Carriers.  Those motor carriers that operate, as house carriers to Hanjin, appear to be hardest hit with large receivables owed by Hanjin.


2.    Other Drayage Carriers.  Even those carriers that are not retained by Hanjin directly are facing problems if they are unable to return empty Hanjin containers.  Technically, these carriers could face per diem charges related to containers outgated longer than the allowable free time. 


3.    Non-Vessel Operating Common Carriers like DGX.  NVOCC companies are dealing with numerous issues including:


a.    Having to retrieve freight already tendered to Hanjin (which might require payment of freight charges to Hanjin notwithstanding the fact that Hanjin has not provided services) so that the cargo can be tendered to other carriers.  (Such NVOCCs should review their bills of lading and tariffs to determine whether and to what extent incremental costs caused by Hanjin’s failure can be passed through to customers.)


b.    Dealing with cargo that is sitting on Hanjin vessels, which could ultimately result in missed deliveries, and potential claims related to deterioration.


c.     Inability to find drayage carriers willing to accept cargo in Hanjin containers.


There is no playbook for how parties affected by the filing should proceed.  We are diligently making every reasonable effort to minimize disruption to our customer's affected shipments.  The Hanjin vessels could be at risk for ship arrest or being prevented access to port facilities.  This could result in additional charges being assessed against affected containers, such as (but not limited to), port and terminal demurrage, equipment detention, equipment repositioning charges, etc.  If you have cargo insurance for affected shipments, your insurance policy may provide coverage for such extra expenses incurred as a result of vessel operator financial insolvency. 


We will contact any affected customers with further relevant details as the situation develops and look forward to the opportunity to assist affected customers during this challenging situation.

China Modifies Inspection Rule Aimed at Zika


China has now decided that vessels originating from the United States, other than the state of Florida, do not require disinsection certification, according to an update from the U.S. Department of Agriculture’s (USDA) Foreign Agricultural Service (FAS).  For additional information regarding the updated rule, please refer to the link below:


[ ]

Brown Marmorated Stink Bug 2016-2017 Season Measures


Please be advised the Brown Marmorated Stink Bug (BMSB) season began September 1, 2016 and will end April 31, 2017.   During this period all high-risk commodities (see link below for full listing of commodities) are required to be fumigated at origin to avoid delays and extra costs upon arrival in Australia.  As mentioned above, the fumigation costs at in the USA are approximate $250-$450 per container depending on the size of the container (fumigation and drayage).


For additional information regarding the measures for both break bulk and containerload shipments, please refer to The Department of Agriculture and Water Resources website:


[ ].


Should you have additional questions, please contact your local representative or call our Corporate office at 1-888-488-4888 or 1-310-669-8888.


Thank you for your business - we appreciate it!




Brad Dechter