RULE: 2 - APPLICATION OF RATES AND CHARGES Eff: 01MAY2002

Effective 01MAY2002
Filed 01MAY2002
Filing Codes I

A. Except as otherwise provided, rates apply from end of
   ship's tackle at port of loading to end of ship's tackle
   at port of discharge for port to port moves and from/to
   end of ship's  tackle at the port of loading/discharge
   from/to Inland Carrier's Terminal for intermodal moves on
   a through Bill of Lading.
     
   The through rates published herein include all charges
   for switching, drayage or other transfer services
   (including handling and wharfage but excluding Terminal
   charges as set forth in Rule 23 unless specified in the
   individual rate item) at intermediate points on shipments
   handled through and not stopped for special services at
   such intermediate interchange points.  Unless otherwise
   provided, the rates in this tariff do not cover charges
   established at destination ports by customs and/or port
   tariffs which are for the account of the cargo whether or
   not billed to carrier.
    
B. Rates published in this tariff are stated in terms of
   U.S. Currency, except as provided in Rules 10 and 23, and
   apply per 1000 kilos (W) or 1 cubic meter (M) as indica-
   ted, whichever yields the greater revenue, except as
   otherwise specified.  Where the word "Weight" or the
   letter "W" appears next to an article or commodity,
   weight rates are applicable without regard to measure-
   ment.  Where the "Measurement" or the letter "M" appears
   next to an article or commodity, measurement rates are
   applicable without regard to weight.
    
   All freight rates and other charges shall be based on the
   actual gross weight and/or overall measurement of each
   piece of package, except as otherwise provided.
    
   Rates indicated by W/M or WM are optional weight or
   measurement rates and the rate yielding the greater
   revenue will be charged.
    
C. Rates as published herein do not include Marine or War
   Risk Insurance or Consular fees.
     
D. Description of commodities shall be uniform on all copies
   of the Bill of Lading and MUST be in conformity with the
   validated United States Import/Export Declaration cover-
   ing the shipment.  Carrier MUST verify the Bill of Lading
   description with validated United States Import/Export
   Declaration.  Shipper amendments in the description of
   the goods will only be accepted if validated by United
   States Customs.
    
   Trade names are not acceptable commodity descriptions.
     
E. Unless otherwise specified, when the rates in this tariff
   are based on the value of the commodity, such commodity
   value will be the F.O.B. or F.A.S. value at the port of
   loading as indicated on the Commercial Invoice, the
   Custom Entry, the Import/Export Declaration or the
   Shipper's Certificate of Origin.  The F.O.B. value and
   the F.A.S. value include all expenses up to delivery at
   the loading port.
    
F. Nothing in this Tariff shall be construed as requiring
   Carrier to transport property or furnish service for
   which it does not have suitable or sufficient equipment,
   nor to accept shipments when equipment is not available.
     
G. The rates shown in this tariff except where predicated on
   specifically lower values or on an ad valorem basis, are
   subject to Bill of Lading limit of value.
    
H. Packages containing more than one comodity will be
   assessed the rate for the highest rated commodity con-
   tained therein, except that advertising matter when
   shipped in the same packages with, or in separate
   packages accompanying the goods it advertises, will be
   charged at the rate applicable to the goods it advertises
   providing the advertising matter does not exceed 5
   percent of the weight or measurement of the advertised
   goods.
        
 (Control No. 010244)    
I. Parts of any commodity when shipped with that commodity
   on the same bill of lading take the same rate as the
   commodity.  Parts of or packaging for a commodity when
   shipped separately on a separate bill of lading will be
   assessed Cargo, N.O.S. rates unless otherwise provided
   in this Tariff.
    
J. The Carrier shall be under no obligation to transport
   loaded containers or motor equipment whose gross weight
   exceeds highway limitations or the marked gross capacity
   of the containers or motor equipment.  Fines, penalties,
   and additional rehandling costs that are assessed due to
   excessive container weight will be for the account of the
   cargo.
    
K. TOLLAGE, WHARFAGE, AND HANDLING AND/OR OTHER CHARGES
   Except as otherwise provided, any Tollage, Wharfage,
   Handling, Demurrage, Storage and/or other charges
   assessed against the cargo at Ports of Discharge will be
   for the account of the Cargo. Any Tollage, Wharfage,
   Handling and/or Charges at Port of Loading in connection
   with storage, handling and receipt of cargo before
   loading on the vessel shall be for the account of the
   Cargo, and if such charges are assessed against the
   vessel, the Carrier shall in turn bill and collect the
   same charge in its full amount from the Shipper.
    
   Any Additional Charges which may be imposed upon the
   cargo by Governmental Authorities will be for account
   of the Cargo.
    
L. 1. Notwithstanding anything to the contrary in Rule 2
      (L)(3), when two or more rates may be applicable to
      a given shipment and one rate is more specific than
      the others, the most specific rate shall apply.
    
   2. For purpose of determining if one rate is more
      specific than another, the following shall apply
      when comparing one tariff rate to another tariff
      rate:
    
   (a) Commodity Description
       One rate is more specific than another when it
       describes the commodity being shipped with greater
       particularity than the other.
    
       Example: Canned Pineapple is more specific than
         Canned Fruit or than Canned Goods, N.O.S.
    
   (b) Geographic Ranges
       A rate to a specific destination or from a specific
       origin, whether it is a through rate or a rate de-
       rived by use of the tariff Arbitrary charges, is
       more specific than a rate to or from a geographic
       zone or range.
       If one of the rates being compared is from a
       specific origin and the other is to a more specific
       destination will be deemed to be more specific.
   
       Example 1: A rate to Los Angeles CA is more specific
         than a rate to U.S. West Coast Ports.
   
       Example 2: A rate from Taiwan is more specific than
         a rate from Hong Kong/Taiwan.
   
       Example 3: A rate from Indonesia to Los Angeles CA
        is more specific than a rate from Jakarta to U.S.
        West Coast Ports.
   
   3. Except as otherwise expressly provided in this Rule 2
      (L) or elsewhere in the applicable tariff, in the
      event two or more rates are applicable to a given
      shipment, the shipper shall be entitled to the lowest
      of the applicable rates.
    
   4. Rates to specific individual West Coast ports cannot
      be used as the basis for computing U.S. Group 4
      Destination Point rates.
    
   5. When a commodity description includes a "viz." list,
      the individual items in the viz. list will be used
      to compare the description with any other commodity
      description contained in the tariff for purposes of
      determining which is more specific.
    
      Example: The term "furniture, all kinds, viz.: rattan
       furniture" would be considered as rattan furniture
       for purposes of comparison with other rates for
       specificity.
    
      The term "N.O.S." after a commodity description will
      not tender the rate for that commodity any more or
      less specific than if the designation "N.O.S." were
      not present.
    
      Example: A rate for Canned Fruit, N.O.S. is no more
       specific than a rate for Canned Fruit.
    
M. ADVANCE CHARGES
    
   Shippers/Forwarders advance charge on Bill of Lading
   for collection from Consignees will be accepted
   providing they do not relate in any part to the cost
   of the merchandise shipped and/or the ocean freight
   thereon, but only covering legitimate expenses to
   F.O.B. in connection with arrangement made for
   particular shipment.  Such advance charges shall be
   accepted without carrier's responsibility.  However,
   and are at the full risk of the shipper/forwarder at
   all times.  Such charges must be shown in United
   States Dollars.  Carrier is not required or obligated
   to remit such Charges back to the billing party until
   carrier receives payment in full at destination.
   
N. CALCULATION OF NON-PUBLISHED RATES
    
   The provisions of this rule apply as noted hereunder,
   for the calculation of non published rates from a
   through freight rate of a 40ft x 8'6" container which
   is either filed as "base freight rate", "all inclusive"
   or filed as being "inclusive of" any charges in addition
   to base ocean freight.  This rule applies only on per
   container rates.
    
   For the purposes of this rule the following definitions
   shall apply:
    
     I. Under the term "freight rate", origin/destination
        arbitraries shall be considered as a part of the
        base ocean fregiht and not as an additional charge.
    II. Any rate that is filed as "all inclusive" shall be
        considered as being inclusive ONLY of FAF, DDC, and
        CAF (if a CAF exists from that particular origin or
        to that particular destination).
   III. Any charges other than FAF, DDC and CAF, will not
        be considered as part of a rate filed as "all
        inclusive" for the purposes of this rule.
    IV. Any charge other than FAF, DDC and CAF that is to
        be included as part of this rate, must be specifi-
        cally named in the rate (Example: "inclusive of
        ORC" or inclusive of Shanghai Port Surcharge")
     V. If the 40'x8'6" container rate is filed as base
        ocean freight, then the corresponding FAF, DDC
        and CAF for a 40'x8'6" container rate must be added
        to the base ocean freight in order to calculate the
        freight rate for other container sizes.
       
O. CALCULATION OF NON-PUBLISHED SURCHARGES
    
   Unless otherwise specificed in individual surcharges or
   arbitraries, the method to determine the surcharge and
   arbitrary for 20'x8'6" container is to multiply the sur-
   charge of the 40'x8'6" container by 75% and round off
   to the nearest five dollars.
    
   Unless otherwise specificed in individual surcharges or
   arbitraries, the method to determine the surcharge and
   arbitrary for 40'x9'6" container is to multiply the sur-
   charge of the 40'x 8'6" container by 112.5% and round
   off to the nearest five dollars.
    
   Unless otherwise specificed in individual surcharges or
   arbitraries, the method to determine the surcharge and
   arbitrary for 45'x9'6" container is to multiply the sur-
   charge of the 40'x8'6" container by 126.6% and round
   off to the nearest five dollars.
     
   Unless otherwise specificed in individual surcharges or
   arbitraries, the method to determine the surcharge and
   arbitrary for 48'x9'6" container is to multiply the sur-
   charge of the 40'x8'6" container by 144.3% and round off
   to the nearest five dollars.

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