Sourcing glossary
Terminal handling charge
Also known as: THC, OTHC, DTHC, Terminal handling fee
A fee for handling containers at a port terminal, such as lifting them on or off the vessel and moving them within the yard, charged separately at the origin port (OTHC) and the destination port (DTHC).
THC is charged per container for FCL and per CBM or per shipment for LCL, and it appears on nearly every sea freight invoice. Which side pays depends on the Incoterm: under FOB the supplier normally pays origin THC and the buyer pays destination THC; under CIF or CFR the supplier pays freight but destination THC still falls to the buyer.
A frequent surprise is a cheap CIF price followed by high destination charges, including THC, billed by the supplier's forwarder's agent. Ask for destination charges in writing before agreeing to the Incoterm. See CIF vs FOB.
Related terms
Guides that use this term
Part of Shipping & Logistics.