How to Read a Freight Invoice

A freight invoice is rarely just one line. A typical China → US ocean invoice has 12–20 charges, each with its own three-letter acronym. This guide walks through every line you are likely to see, what it actually means, and which ones are worth pushing back on.

The structure of a freight invoice

Every freight invoice follows the same shape:

• Base freight — the per-CBM, per-kg or per-container rate.
• Origin charges — handling at the export port or airport.
• Destination charges — handling at the import port or airport.
• Surcharges — fuel, currency, security, peak season.
• Customs & documentation — entry filings, BL fee.
• Inland delivery — trucking from port to your door.

Ocean freight invoice — line by line

Base ocean freight

Quoted per CBM for LCL, per container for FCL. Verify the CBM number on the invoice matches what you calculated from the packing list — plug the dimensions into the CBM Calculator and check.

BAF — Bunker Adjustment Factor

A fuel surcharge that floats with oil prices. Usually 10–25% of base freight. Non-negotiable but worth understanding.

CAF — Currency Adjustment Factor

Compensates the carrier for USD/local currency fluctuations. A few percent of base.

THC — Terminal Handling Charges

Charged at both origin and destination ports for crane and yard moves. Quoted per container or per CBM. USD 150–350 per container is typical.

ISPS — International Ship and Port Facility Security

A flat security fee, usually USD 10–25 per container. Mandatory worldwide.

AMS / ENS / ACI

Manifest filings before arrival — AMS for the US, ENS for the EU, ACI for Canada. Around USD 25–45 per BL.

BL fee / Documentation

USD 50–125 to issue the Bill of Lading. One per shipment, not per container.

Container Cleaning / Repair / Telex

Small fees, USD 10–50 each. Telex release usually adds USD 35–60.

Detention & Demurrage

Only shows up if you exceed the free days. Demurrage is the port charge for keeping the container at the terminal; detention is the carrier's charge for keeping their box at your warehouse. Per diem rates start around USD 75 and escalate quickly.

Air freight invoice — line by line

Base air freight

Quoted per chargeable kg, where chargeable weight = max(gross weight, CBM × 167). Run the math with the Volumetric Weight Calculator before you accept the invoice number.

Fuel Surcharge (FSC)

USD 0.50–1.20 per kg. Often the second-largest line on the invoice.

Security Surcharge (SSC)

USD 0.15–0.35 per kg, applied to all air cargo since 9/11.

Airport Handling / Terminal

USD 0.10–0.20 per kg, plus a minimum fee.

Customs entry

USD 75–225 per entry at destination. Single flat fee regardless of shipment size below the merchandise threshold.

A practical example

One real China → US LCL invoice for 3.5 CBM, 500 kg:

• Ocean freight: 3.5 × USD 45 = USD 157.50
• BAF: USD 38.00
• Origin THC: USD 95.00
• BL fee: USD 65.00
• AMS: USD 35.00
• Destination THC: USD 175.00
• ISF filing: USD 45.00
• Customs broker: USD 125.00
• Delivery (LCL pickup + 50 mi truck): USD 285.00
• Total: USD 1,020.50

The headline freight is USD 157.50 — the other USD 863 is everything around it. This is why "LCL at USD 45 per CBM" is a misleading quote for a small shipment.

Lines worth pushing back on

• BL fee — sometimes waived on contract rates.
• Documentation — should not appear twice (BL fee already covers it).
• Container cleaning — should only apply when you returned a dirty container.
• Telex release — fair charge but ask if it is included in your contract.
• Wrong CBM or chargeable weight — the biggest source of overcharges. Always recalculate.