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Chinese shippers threaten boycott over seal charge
2009/4/24

Asian shippers are threatening to boycott OOCL after the carrier introduced a container seal fee on outbound shipments from south China, Macau and Hong Kong.

Tolan Lam, Shenzhen Shippers''Association chairman, called the seal charge "unconscionable" and "unjustified" at a time when shippers were struggling financially.

"The seal is part of the container that the shipping line agrees to transport and for which we pay freight charges," he added. "To start charging for the seal at this point in time makes no sense at all."

OOCL informed customers it would apply a RMB25/HK$25 (US$3) charge per seal from 13 May on all containers shipped from Hong Kong, Macau and the Chinese provinces of Guangdong, Guangxi, Guizhou, Hainan and Yunnan.

In a joint statement, shippers''groups in Hong Kong, Macau and Shenzhen expressed dismay that only exports from their regions were being charged the seal fee, hitting competitiveness.They also questioned why OOCL would charge for a seal on a container that helped protect the carrier from liability for the box''s contents.


Sunny Ho, director of the Hong Kong Shippers''Council (HKSC), said OOCL was unfairly targeting southern Chinese shippers who already faced higher terminal handling charges (THCs) than other regions.

"This sort of discriminatory action has really upset shippers," he told IFW.

"I wouldn''t rule out a boycott by Hong Kong shippers if the charges are not removed."

Ho claimed OOCL had imposed the fee without providing either a new service or adding value. "We’re very upset and we''ll be protesting to local authorities about these ruthless actions designed simply to raise extra finance," he added. "There was no consultation and no justification given for the charges."

OOCL failed to respond to enquiries by IFW.

The carrier suspended plans to impose an emergency bunker surcharge on the Hong Kong/South China-Taiwan trade last year in the face of shippers’ complaints.

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