FMC Asks MSC To Explain Congestion Surcharge

Credit: olga-subach-unsplash

The US Federal Maritime Commission (FMC) has given Switzerland-based shipping company MSC until the end of February to explain a $1,000 congestion surcharge levied against a shipper, reports Insurance Marine News.

A complaint against MSC had been filed by SOFi Paper Products.

Congestion surcharge

The FMC’s request is another consequence of the passing of The Ocean Shipping Reform Act 2022 last June, which gave the FMC greater oversight and enforcement powers over the business practices in the US of foreign-flagged carriers. One of those powers relates to receiving and streamlining to the process of handling charge complaints.

The FMC has reported receiving more than 200 filings, including 70 that met the requirements for referral to investigators.

According to the FMC, Switzerland-based MSC must provide justification for its $1,000 congestion surcharge on a SOFi shipment invoiced last July.

The FMC also requested MSC explain why it should not have to promptly refund of charges paid by SOFi or be imposed a civil penalty for the violations.

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Source: Insurance Marine News 


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