What is Terminal Handling Charge (THC)? How Much is it?
Terminal Handling Charge (THC) is a common but easily overlooked fee in international freight. It is crucial for shippers and freight forwarders to understand the definition, composition and calculation of this fee. This article will discuss the basic concept of THC, charging methods, influencing factors and its importance in international trade.
What is Terminal Handling Charge (THC)?
Terminal Handling Charge (THC) is a fee charged by terminal operators when handling cargo at a port, terminal or container freight station (CFS). These charges are also called container service charges and apply only to ocean freight. THC covers the costs associated with moving containers within the terminal at the port of origin and the port of destination.
This includes but is not limited to the following:
- Unloading and loading of cargo
- Moving and storing cargo within the terminal
- Loading and unloading of containers and other handling work
In short, THC covers all the handling costs of cargo within the terminal and is one of the unavoidable costs in international freight.

How is THC charged?
THC is usually charged based on the type of container, mainly including the following types:
- 20ft container: suitable for small quantities of goods, with relatively low charges.
- 40ft container: suitable for large quantities of goods, with higher charges.
- Reefer container: due to the need for additional refrigeration equipment and maintenance, the charges are higher.
THC charging standards
The specific charging standards for THC do not have a fixed value and are affected by the following factors:
(1) Port location
The THC fees of different ports vary greatly. For example, the charges of major ports in China (such as Shanghai and Shenzhen) and Jeddah Port in Saudi Arabia may vary due to differences in operating efficiency, labor costs, etc.
(2) Container specifications
THC for a 20ft container: generally between $50 and $100.
THC for a 40ft container: generally between $100 and $200.
(3) Cargo type
The operating complexity of ordinary cargo and special cargo such as dangerous goods and frozen goods varies, and the fees will also vary.
What types of terminal handling charges are there? Who pays them?
Terminal handling charges are an inevitable expense for every shipment, regardless of who is paying. These charges are charged at three locations: the port of departure, the port of destination, and any transshipment ports.
- Origin Terminal Handling Charges (OTHC): charges for port services paid before the vessel leaves the port.
- Destination Terminal Handling Charges (DTHC): charges charged when the cargo arrives at the port of destination.
The responsibility for paying these charges depends on the terms of the shipment. For example, under EXW (Ex Works) terms, the buyer is responsible for paying THC, while under FOB (Free on Board) terms, the shipper usually bears these charges.
In the case of transshipment, the freight carrier bears any THC charges at the transshipment port, as these charges are included in the total freight rate.
The role and importance of THC
THC plays an important role in international freight, which is mainly reflected in the following aspects:
- Ensure safe and efficient loading and unloading of goods: Terminal operating companies provide professional services to ensure the safety of loading and unloading of goods at the port.
- Improve freight efficiency: By collecting THC, terminal companies can maintain the normal operation of equipment and labor, thereby improving freight efficiency.
- Transparent transportation costs: As part of international freight, THC provides shippers with a clear cost breakdown.
How to reduce the cost pressure brought by THC?
Although THC is an inevitable cost in international freight, its impact can be effectively reduced through the following methods:
(1) Choose the right port
Choosing a port with high operating efficiency and transparent charges can avoid additional time and cost expenditures.
(2) Optimize container loading
Ensure container loading efficiency and reduce the number of unnecessary containers, thereby reducing THC costs.
(3) Cooperate with professional freight forwarders
Experienced freight forwarders can help customers develop more efficient transportation plans and minimize costs.
China’s Top 10 International Shipping Companies
Terminal handling fees for shipping from China to different countries


Shipping from China to USA: Terminal handling fees
The United States is one of China’s main export destinations, and its ports (such as Los Angeles, Long Beach, New York, etc.) charge relatively high THC fees:
- 20ft container: usually between $150-$300
- 40ft container: usually between $200-$400
The reasons for the high charges at US ports include expensive labor costs and operating equipment. In addition, the efficient operating capabilities and strict cargo inspections of US ports also increase the transparency and necessity of fees.
Shipping from China to UAE: Terminal handling fees
The United Arab Emirates (UAE) is an important hub for global trade, and the Port of Dubai (such as the Port of Jebel Ali) is one of the busiest ports in the Middle East. Its THC charges are as follows:
- 20ft container: about $120-$180
- 40ft container: about $200-$300
The UAE ports have efficient operating procedures and modern equipment, which makes the freight circulation faster, so THC is more cost-effective.
How Much does it Cost to Ship from China to UAE
Shipping from China to Saudi Arabia: Terminal Handling Fees
THC is an unavoidable fee when shipping from Chinese ports (such as Shanghai, Shenzhen) to Saudi Arabian ports (such as Jeddah, Dammam).
THC in Chinese ports: Fees are usually between $80-$120 for a 20ft container and between $150-$200 for a 40ft container.
THC in Saudi Arabian ports: Fees vary depending on the complexity of local terminal operations and are usually slightly higher than those in Chinese ports.
When choosing a carrier and port, working with a professional freight forwarder can help you stay up to date with the latest fees and ensure transparency.
Terminal handling charges (THC) are a vital part of international freight, and their calculation is affected by many factors. Understanding the definition, charging standards and importance of THC can help shippers better plan logistics costs. Whether shipping from China to Saudi Arabia or other destinations, working with a professional freight forwarder can ensure a smoother and more efficient freight process. If you need to transport goods from China to anywhere in the world, please contact us at Basenton Logistics, we will provide you with professional and transparent services and quotations.