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CN Changes Storage Rates and Calculation Method

: Transport

CN Changes Tariff Again: Storage Charges To Be Impacted 2018-06-07

Subsequent to our May 10th bulletin regarding a change in Canadian National’s storage policy a new version of CN’s rates and rules tariff was released on June 4th; the related changes come into effect July 1, 2018, including a new storage policy (the following is excerpted from CN’s new Tariff for the convenience of our readers):
 
 
 Extended Storage For Import/Export Service
 
 
 DRY AND REEFER STEAMSHIP UNITS – LOADS Item 6500
 
 Free time starts at 0700 on the day after being deramped or placed in storage at the terminal; storage   charges start at 0700 after free time ends. Ends on the day of departure or removal from storage. Free       time calculation includes all days that the terminal is open; if free time has expired, storage charge will   include all days regardless of whether the terminal is open or closed. Guarantee of storage fees must be   completed through CN’s website prior to the release of the steamship unit. Responsibility: guarantor of   charges
 
 
 
 Group
 
 Station
 
 Free Time
 (Notes 1 & 2)
 
1
 
 ON: Brampton, Malport
 
24 hours
 
2
 AB: Edmonton, Calgary, BC: Vancouver, IL: Chicago and Joliet,
 MI: Detroit, QC: Montreal, TN:   Memphis
 
48 hours
 
 3
 
 IN: Indianapolis, LA: New Orleans MB: Winnipeg,
 MN: Duluth, MS: Jackson NB: Moncton,
 NS: Halifax, SK: Saskatoon, Regina, WI: Chippewa Falls
 
48 hours
 
Note 1:
 
An additional 24 hours free time will be granted for loaded containers (all sizes and types) found at time of pick up, with goose neck channel damage or corner pocket damage.
 
Note 2:
 
An additional free day will be granted if the following holidays fall within the free time period. 
(See page 13 of 46 in the online tariff for list of holidays)
 
 LOADED DRY CONTAINERS:
 
 Daily storage charges become applicable after the expiry of the free time period as follows:
 
 
 GROUP 1
Mon Tue Wed Thu Fri Sat Sun Mon Tue Wed Thu Fri Sat Sun Mon
D F $200 $200 $200 $350 $350 $350 $350 $500 $500 $500 $500 $500 $500
  D F $200 $200 $200 $350 $350 $350 $350 $500 $500 $500 $500 $500
    D F $200 $200 $200 $350 $350 $350 $350 $500 $500 $500 $500
      D F $200 $200 $200 $350 $350 $350 $350 $500 $500 $500
        D F $200 $200 $200 $350 $350 $350 $350 $500 $500
D = Deramp Day
F = Free Day
      D F $200 $200 $200 $350 $350 $350 $350 $500
        D F $200 $200 $200 $350 $350 $350 $350
 
 GROUP 2
 
Mon Tue Wed Thu Fri Sat Sun Mon Tue Wed Thu Fri Sat Sun Mon
D F F $150 $150 $150 $300 $300 $300 $300 $450 $450 $450 $450 $450
  D F F $150 $150 $150 $300 $300 $300 $300 $450 $450 $450 $450
    D F F $150 $150 $150 $300 $300 $300 $300 $450 $450 $450
      D F F $150 $150 $150 $300 $300 $300 $300 $450 $450
        D F F $150 $150 $150 $300 $300 $300 $300 $450
D = Deramp Day
F = Free Day
      D F F $150 $150 $150 $300 $300 $300 $300
        D F F $150 $150 $150 $300 $300 $300
 
 GROUP 3
 
Mon Tue Wed Thu Fri Sat Sun Mon Tue Wed Thu Fri Sat Sun Mon
D F F $100 $100 $100 $100 $100 $100 $200 $200 $200 $200 $200 $200
  D F F $100 $100 $100 $100 $100 $100 $200 $200 $200 $200 $200
    D F F $100 $100 $100 $100 $100 $100 $200 $200 $200 $200
      D F F $100 $100 $100 $100 $100 $100 $200 $200 $200
        D F F $100 $100 $100 $100 $100 $100 $200 $200
D = Deramp Day
F = Free Day
      D F F $100 $100 $100 $100 $100 $100 $200
        D F F $100 $100 $100 $100 $100 $100
 
 LOADED REEFER CONTAINERS:
 
 Daily storage charges become applicable after the expiry of the free time period as follows:
 
 
GROUP 1
Mon Tue Wed Thu Fri Sat Sun Mon Tue Wed Thu Fri Sat Sun Mon
D F $250 $250 $250 $400 $400 $400 $400 $550 $550 $550 $550 $550 $550
  D F $250 $250 $250 $400 $400 $400 $400 $550 $550 $550 $550 $550
    D F $250 $250 $250 $400 $400 $400 $400 $550 $550 $550 $550
      D F $250 $250 $250 $400 $400 $400 $400 $550 $550 $550
        D F $250 $250 $250 $400 $400 $400 $400 $550 $550
D = Deramp Day
F = Free Day
      D F $250 $250 $250 $400 $400 $400 $400 $550
        D F $250 $250 $250 $400 $400 $400 $400
 
 GROUP 2
Mon Tue Wed Thu Fri Sat Sun Mon Tue Wed Thu Fri Sat Sun Mon
D F F $200 $200 $200 $350 $350 $350 $350 $500 $500 $500 $500 $500
  D F F $200 $200 $200 $350 $350 $350 $350 $500 $500 $500 $500
    D F F $200 $200 $200 $350 $350 $350 $350 $500 $500 $500
      D F F $200 $200 $200 $350 $350 $350 $350 $500 $500
        D F F $200 $200 $200 $350 $350 $350 $350 $500
D = Deramp Day
F = Free Day
      D F F $200 $200 $200 $350 $350 $350 $350
        D F F $200 $200 $200 $350 $350 $350
 
 GROUP 3
Mon Tue Wed Thu Fri Sat Sun Mon Tue Wed Thu Fri Sat Sun Mon
D F F $150 $150 $150 $300 $300 $300 $300 $450 $450 $450 $450 $450
  D F F $150 $150 $150 $300 $300 $300 $300 $450 $450 $450 $450
    D F F $150 $150 $150 $300 $300 $300 $300 $450 $450 $450
      D F F $150 $150 $150 $300 $300 $300 $300 $450 $450
        D F F $150 $150 $150 $300 $300 $300 $300 $450
D = Deramp Day
F = Free Day
      D F F $150 $150 $150 $300 $300 $300 $300
        D F F $150 $150 $150 $300 $300 $300
 
 OFF PEAK HOURS: PICK UP REBATE FOR DRY AND REEFER LOADS
 
 Pick up rebates are offered for dry and refer loads during off peak hours applicable at the following terminals:
 
  • Montreal, QC
  • Brampton, ON
  • Edmonton, AB
  • Calgary Logistics Park, AB
  • Vancouver, BC
  • Harvey, IL (Chicago)
  • Detroit, MI
  • Memphis, TN
 
 On weekdays when a unit picked up during off peak hours (see details on off peak hours   below) a reduction of $50 per chargeable storage day for up to a maximum rebate of $250 will be granted.
 
 This storage rebate policy is based on the in-gate day and time.
 
 Example 1: Unit with 4 chargeable days picked up during off peak hours = Rebate of $200 (4 x $50)
 Example 2: Unit with 8 chargeable days picked up during off peak hours = Maximum rebate of $250
 
 The week days off peak hours are from 20h00 to 04h00 and for the weekends are from Friday 20h00 to Monday 04h00.
EXCEPTIONS:
Terminal Week Day Weekend
Detroit 17:00 to 21:00 Saturday and Sunday from 07:00 to 15:00
Memphis 20:00 to 04:00 Friday from 20:00 to Saturday 16:00
Sunday from 06:00 to 16:00
Montreal 22:00 to 05:00 Friday from 22:00 to Monday 05:00
 
 Links to Document  CN T 9100 (En)
Reference Description Effective Date Expiry Date
CN T 9100-V (4) (En) Optional Services Catalogue - Intermodal July 1, 2018 December 31, 2018
CN T 9100-V (3) (En) Optional Services Catalogue - Intermodal May 15, 2018 June 30, 2018
 
In the event of any difference between the above excerpt and the online tariff, the online tariff will prevail. This excerpt is provided for informational purposes only and the rail tariff is available in its entirety from the CN Rail website at either of the above links.
 
It is clear that Canadian National (CN) is increasing overall storage fees by a considerable amount.
 
CN certainly is providing a disincentive for consideration of their yards for storage and add an economic incentive for importers to remove their goods from CN’s intermodal terminals as quickly as possible at times of day that are most convenient for them (not necessarily other supply chain participants). 
 
Please contact your Milgram Client Services Representative or Milgram Dispatch for any additional information.

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Milgram has developed a reputation for providing the highest level of service in the fields of Customs Brokerage, International Freight Forwarding and Ground Transportation.

We strive to make things simple for our clients by doing them better, and work hard to meet and exceed our clients expectations.

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