What is THC (terminal handling charge)?
Terminal operators charge the shipping line for their work, and the line passes the cost on to the cargo as THC, set per container size and type, or per W/M for LCL. Origin THC is charged at the port of loading and destination THC at the port of discharge. Who pays each side usually follows the Incoterms rule agreed in the sale and the freight terms on the booking.
THC covers routine handling. It does not include storage once free time runs out, demurrage, or the packing and unpacking of LCL containers, which appear as container freight station charges. Because each line sets its own THC tariff, two carriers using the same terminal can charge different amounts, and reefer, dangerous-goods and out-of-gauge boxes usually cost more.
THC is often quoted outside the ocean rate, so comparing two offers means checking whether origin and destination THC are included in each. At destination, the line or its agent typically lists THC on the arrival notice and collects it before issuing the delivery order. A forwarder who quotes “freight only” should say so plainly to avoid a dispute at the destination port.