Freight & shipping glossary
About this glossary
Freight comes with a lot of jargon. This is a plain-English reference for the terms you'll see in your quotes, invoices, and shipment documents. Other articles link here on first use of a term.
A–C
ASIN (Amazon Standard Identification Number) — Amazon's unique 10-character ID for a product listing.
BAF (Bunker Adjustment Factor) — A surcharge that adjusts for changes in marine fuel prices. See How to read your invoice.
Bill of Lading (B/L) — The core shipping document: a receipt for your cargo, a contract of carriage, and (for an original B/L) a document of title. See Bill of Lading: what it is and the common types.
Blank sailing — A sailing the carrier cancels or skips, usually to manage capacity; it can push your cargo to a later vessel. See What to do if your shipment is delayed.
CBM (Cubic Meter) — The volume of your cargo (length × width × height in meters). Used to price LCL shipments and to calculate chargeable weight.
CFS (Container Freight Station) — A facility where LCL cargo is consolidated into, or deconsolidated out of, shared containers.
Chargeable weight — The greater of your cargo's actual weight and its volumetric weight; what freight is priced on. See Chargeable weight explained.
Consignee — The party receiving the cargo, named on the Bill of Lading. See Who to name as the consignee.
CRD (Cargo Ready Date) — The date your goods are packed and ready to leave the supplier; a key input for scheduling and quoting.
Customs bond — A guarantee that duties and fees will be paid to customs. Can be single-entry or annual (continuous). See ISF, POA & IOR basics.
D–H
Deductible — The portion of an insured loss you cover yourself before a cargo insurance policy pays out. See Why insure your cargo.
Demurrage — Charges for leaving a container at the port/terminal past the free time. See Demurrage & detention.
Detention — Charges for keeping a container outside the terminal (e.g. at your warehouse) past the free time. See Demurrage & detention.
Drayage — Short-haul trucking of a container, typically between the port and a nearby warehouse. See Trucking & drayage for FCL.
Dunnage — Packing material (airbags, blocking, bracing) used to secure cargo and stop it shifting in transit. See Packaging & damage prevention.
EBS (Emergency Bunker Surcharge) — A temporary fuel surcharge carriers add when fuel prices spike. See How to read your invoice.
ETD / ETA — Estimated Time of Departure / Arrival. These update as the carrier reports progress.
FCL (Full Container Load) — You book a whole container. Compare with LCL. See FCL vs LCL vs parcel.
FNSKU — The barcode Amazon uses to identify a product in FBA. See Amazon labeling requirements.
General average — A maritime principle where, after an emergency (e.g. cargo jettisoned to save the ship), all cargo owners share the loss proportionally — even if your goods were untouched. A key reason to carry cargo insurance. See Why insure your cargo.
Golden Week — A week-long national holiday in China (early October) when factories and offices close; plan production and shipping around it. See Chinese New Year & peak season.
GRI (General Rate Increase) — A carrier's scheduled increase to base ocean rates on a trade lane. See How to read your invoice.
HAWB / HBL (House Air Waybill / House Bill of Lading) — The transport document your forwarder issues to you, as opposed to the carrier's master document (MAWB/MBL).
HTS / HS code — The tariff classification code that determines the duty rate on your product. See Customs duties & how to estimate them.
I–P
Incoterms® — Standard trade terms (e.g. FOB, EXW, DDP) that define who is responsible for cost and risk at each stage. See A quick guide to Incoterms.
IOR (Importer of Record) — The party legally responsible for a shipment's customs clearance and duties. See ISF, POA & IOR basics.
ISF (Importer Security Filing) — U.S. Customs filing (the "10+2") required for ocean imports before the cargo is loaded. See ISF, POA & IOR basics.
ISPM 15 — The international standard for treating (heat-treating or fumigating) and marking wood packaging so it can cross borders. See Packaging & damage prevention.
LCL (Less than Container Load) — Your cargo shares a container with other shippers'. Priced by CBM.
MAWB / MBL — The master air waybill / bill of lading issued by the carrier to the forwarder.
POA (Power of Attorney) — Your authorization for a customs broker to clear cargo on your behalf. See ISF, POA & IOR basics.
POD (Proof of Delivery) — Confirmation that a shipment was delivered.
PSS (Peak Season Surcharge) — A temporary surcharge carriers apply during high-demand periods. See How to read your invoice.
Q–Z
Rolled cargo — Cargo bumped to a later sailing/flight because the vessel or aircraft was full. See Rolled cargo explained.
SKU (Stock Keeping Unit) — Your own internal code identifying a specific product.
SLAC (Shipper's Load and Count) — A note on a Bill of Lading meaning the shipper loaded and counted the cargo, and the carrier did not verify the contents.
TIV (Total Insured Value) — The value your cargo insurance is based on, usually cargo value plus freight (and sometimes a markup). See Why insure your cargo.
Volumetric (dimensional) weight — Weight derived from a shipment's size, used when cargo is bulky but light. Part of chargeable weight.
