Fuel Surcharge (FSC)
A fuel surcharge (FSC) is an additional fee added to the base freight charges to compensate carriers for fluctuations in fuel prices. This surcharge is typically calculated as a percentage of the total freight cost or as a specific rate per mile or kilogram. Fuel surcharges help carriers manage the impact of volatile fuel costs on their operations, ensuring financial stability and continuity of service.
Related glossary terms
Bunker adjustment factor (BAF)
Bunker Adjustment Factor (BAF) is the carrier surcharge that recovers fluctuating fuel costs on ocean freight. Learn how BAF is calculated and disputed.
All inclusive rate (AI)
An all-inclusive rate (AI) bundles freight, fuel surcharges, and handling fees into one charge. Learn what is covered and how to compare quotes accurately.
Freight Bill
Freight Bill is a carrier-issued invoice to the shipper detailing all transportation charges, including origin, destination, weight, dimensions, and applicable…
Slow Steaming
Slow Steaming is the practice of operating cargo ships at reduced speed to save fuel, cut emissions, and lower operating costs, at the expense of longer…
