Port of Los Angeles Container Dwell Fee Policy Remains on Hold
December 29, 2021
Port of Los Angeles and the Port of Long Beach once again have delayed
consideration of the “Container Dwell Fee,” this time until Jan. 3.
Since the program was announced on Oct. 25, the twin ports have seen a
combined decline of 41% in aging cargo on the docks. As expected,
progress has eased due to year-end holidays.
The executive directors of both ports will reassess fee implementation
after monitoring data over the next week. Fee implementation has been
postponed by both ports since the start of the program.
Under the temporary policy approved Oct. 29 by the Harbor Commissions of
both ports, ocean carriers can be charged for each import container that
falls into one of two categories: In the case of containers scheduled to
move by truck, ocean carriers could be charged for every container
dwelling nine days or more. For containers moving by rail, ocean
carriers could be charged if a container has dwelled for six days or
more. Currently, no date has been set to start the count with respect to
container dwell time.
ports plan to charge ocean carriers in these two categories $100 per
container, increasing in $100 increments per container per day until the
container leaves the terminal.
Before the pandemic-induced import surge began in mid-2020, on average,
containers for local delivery remained on container terminals under four
days, while containers destined for trains dwelled less than two days.
Any fees collected from dwelling cargo will be reinvested for programs
designed to enhance efficiency, accelerate cargo velocity and address
The policy was developed in coordination with the Biden-Harris Supply
Chain Disruptions Task Force, U.S. Department of Transportation and
multiple supply chain stakeholders.