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FMC Approves Another Red Sea Surcharge

The Federal Maritime Commission on Jan. 29 approved a request from Taiwanese carrier Wan Hai Lines to immediately impose a westbound Red Sea Surcharge for certain cargo that must be diverted away from the region due to attacks by Houth rebels. Carriers typically need to wait 30 days before imposing a new surcharge, but Wan Hai asked the FMC for an exception to help recover the costs of having to take a longer path around Southern Africa's Cape of Good Hope.

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Wan Hai Lines, in a request it sent Jan. 26, explained that the attacks on goods coming through the Red Sea (see 2312200045) have made it "too dangerous" to continue using the Suez Canal to ship goods. The commission has approved similar emergency surcharge requests from other carriers (see 2401110024) and 2401050066).

The new surcharge, effective Jan. 29, was approved for all cargo leaving from the U.S. East Coast to "all destinations." The charges range from $120 to $200, depending on the size of the container.