Foreign-trade Glossary + Calculators
Charges
Terminal Handling Charges (THC)
Fees charged by the terminal/carrier for handling, moving and stacking containers at the terminal yard, split into origin THC (OTHC) and destination THC (DTHC).
Terminal Handling Charges (THC) are fees the terminal operator levies for handling containers at the yard, lifting, moving, hauling and stacking, usually collected by the carrier and passed on to the shipper. They are charged separately at each end: origin THC (OTHC) and destination THC (DTHC).
- THC is typically billed per container (with different rates for 20'/40'/HQ) and varies by port and carrier tariff.
- The split frequently causes disputes: under FOB, origin THC is normally the seller's and destination THC the buyer's; under CFR/CIF the seller pays ocean freight to destination, but whether DTHC is included in that freight depends on the carrier's trade-lane policy, so confirm with the forwarder in advance to avoid an unbudgeted grey area.
FAQ
- Is THC the same as port charges?
- No. THC is one (the largest) component of port charges, specifically the terminal yard handling fee for containers; port charges also include document fees, seal fees, security (ISPS) fees and other local items.
- On CIF terms, do I still pay destination THC?
- Under CIF the seller pays ocean freight to the destination port, but whether destination THC (DTHC) is bundled into that freight depends on the carrier and lane; in many cases the buyer still pays DTHC locally. Get the forwarder to confirm DTHC responsibility in writing before booking.
Related terms
Sources: https://www.maersk.com/local-information · https://www.iccwbo.org/business-solutions/incoterms-rules/incoterms-2020/