Freight Expenses
Domestic/Inland Freight
Rail Transportation
Taiwan Railways Administration (TRA) and Taiwan High Speed Rail (THSR) are the main railtransportation service providers in Taiwan. TRA primarily provides passenger services, as well as container and cargo services.
Minimun Charges for Truck-Loaded Shipping
Unit: NT$
General Cargo |
675 |
Container |
1,910 |
Valuables |
3,255 |
Gun Powder |
1,335 |
An additional 20% will be charged for designated trains based on applicable rates; a base charge of NTD 7,760will apply the chartered train.
Source: TRA, September 2013
Cargo Costs and Incidentals Summary
Unit: NT$
Basic Rate (Tons/Km) |
Station Cost (Tons) |
Main Cargo |
1.55 |
14.45 |
Tobacco, alcohol, gunpowder, generally flammable liquids and flammable solids, acids, oxidation inhibitors, volatile drugs, benzene, high-pressure gas, guns, cannons, rockets, electronic products and waste |
1.17 |
11.01 |
Cement, cement clinkers, mineral oil, coal, machine, rubber, plastics, food, gravel, limestone, grains, fertilizer, salt, bottles, wooden products, clay, agriculture produce, aquatic products, livestock production and vehicles |
Source: TRA, September 2013
Trucking
Generally, freight expenses cannot exceed NT$7.40/Ton-kilometer. According to the Enforcement Rules of Freight Forwarders Operations, container shipping expenses plus additional charges may not exceed one-half of the entire truck expense. Less-than-carload lot expense, plus additional charges, may not exceed 40% of the entire truck expense.
Transportation by truck is mainly used for parcels and packages. Inland freight prices vary according to the size and weight of the goods; transportation in the same city is generally less expensive. The following are the average domestic freight prices:
From Taipei
Unit: NT$
Destination |
Weight (Kg) |
10 |
20 |
30 |
40 |
50 |
Taipei |
100 |
100 |
100 |
100 |
100 |
Taoyuan |
100 |
100 |
100 |
100 |
100 |
Hsinchu |
105 |
105 |
105 |
105 |
105 |
Taichung |
130 |
130 |
130 |
130 |
148 |
Tainan |
180 |
180 |
180 |
180 |
220 |
Kaohsiung |
185 |
185 |
185 |
188 |
235 |
Destination |
Weight (Kg) |
60 |
70 |
80 |
90 |
100 |
Taipei |
100 |
100 |
108 |
122 |
135 |
Taoyuan |
100 |
100 |
108 |
122 |
135 |
Hsinchu |
123 |
144 |
164 |
185 |
205 |
Taichung |
177 |
207 |
236 |
266 |
295 |
Tainan |
264 |
308 |
352 |
396 |
440 |
Kaohsiung |
282 |
329 |
376 |
423 |
470 |
Container Transportation
Destination: Keelung Port
Unit: NT$
From |
20’,40’ |
Taipei City |
5,000 |
New Taipei City |
6,000 |
Hsinchu City |
9,300 |
Taichung City |
12,000 |
Tainan City |
19,000 |
Kaohsiung City |
21,000 |
Source: Deloitte & Touche survey, July 2013
Destination: Taichung Port
Unit: NT$
From |
20’,40’ |
Taipei City |
14,800 |
New Taipei City |
13,800 |
Hsinchu City |
10,300 |
Taichung City |
6,800 |
Tainan City |
12,500 |
Kaohsiung City |
14,500 |
Source: Deloitte & Touche survey, July 2013
Destination: Kaohsiung Port
Unit: NT$
From |
20’,40’ |
Taipei City |
22,000 |
New Taipei City |
21,000 |
Hsinchu City |
17,500 |
Taichung City |
14,000 |
Tainan City |
8,000 |
Kaohsiung City |
6,000 |
Source: Deloitte & Touche survey, July 2013
International Shipping Expenses
Marine Transport
There are four major international harbors in Taiwan: Keelung, Suao, Taichung, Kaohsiung, and Hualien, which are located in northern, central, southern, and eastern Taiwan, respectively. Transportation costs vary according to the size, content, and destination of the container. The following are benchmark international container shipping costs:
From Keelung Port
Unit: US$
Destination |
20’ |
40’ |
40’ HQ |
U.S. West Coast |
San Francisco |
1,840 |
2,000 |
2,225 |
Los Angeles |
1,840 |
2,000 |
2,225 |
Oakland |
1,840 |
2,000 |
2,225 |
Seattle |
1,840 |
2,000 |
2,225 |
Atlanta |
3,920 |
4,600 |
5,150 |
U.S. East Coast |
New York |
3,120 |
3,600 |
4,025 |
Memphis |
3,280 |
3,800 |
4,250 |
Kansas |
3,360 |
3,900 |
4,365 |
Houston |
3,280 |
3,800 |
4,250 |
Boston |
4,120 |
4,600 |
5,150 |
Norfolk |
3,600 |
4,200 |
4,700 |
Philadelphia |
3,840 |
4,500 |
5,040 |
Miami |
4,160 |
4,900 |
5,490 |
Europe |
Rotterdam |
2,450 |
4,600 |
4,850 |
Hamburg |
2,450 |
4,600 |
4,850 |
Frankfurt |
3,250 |
5,400 |
5,650 |
Antwerp |
2,450 |
4,600 |
4,850 |
London |
3,250 |
5,400 |
5,650 |
Amsterdam |
2,750 |
4,900 |
5,150 |
Asia |
Hong Kong |
80 |
100 |
100 |
Bangkok |
200 |
400 |
400 |
Singapore |
300 |
650 |
650 |
Tokyo |
300 |
600 |
600 |
Busan |
150 |
300 |
300 |
Osaka |
300 |
600 |
600 |
Yokohama |
300 |
600 |
600 |
From Taichung Port
Unit: US$
Destination |
20’ |
40’ |
40’ HQ |
U.S. West Coast |
San Francisco |
1,740 |
1,900 |
2,125 |
Los Angeles |
|
1,900 |
2,125 |
Oakland |
1,740 |
1,900 |
2,125 |
Seattle |
1,740 |
1,900 |
2,125 |
Atlanta |
3,820 |
4,500 |
5,050 |
U.S. East Coast |
New York |
3,020 |
3,500 |
3,925 |
Memphis |
3,180 |
3,700 |
4,150 |
Kansas |
3,260 |
3,800 |
4,265 |
Houston |
3,180 |
3,700 |
4,150 |
Boston |
4,020 |
4,500 |
5,050 |
Norfolk |
3,500 |
4,100 |
4,600 |
Philadelphia |
3,740 |
4,400 |
4,940 |
Miami |
4,060 |
4,800 |
5,390 |
Europe |
Rotterdam |
2,450 |
4,600 |
4,850 |
Hamburg |
2,450 |
4,600 |
4,850 |
Frankfurt |
3,250 |
5,400 |
5,650 |
Antwerp |
2,450 |
4,600 |
4,850 |
London |
3,250 |
5,400 |
5,650 |
Amsterdam |
2,750 |
4,900 |
5,150 |
Asia |
Hong Kong |
80 |
100 |
100 |
Bangkok |
200 |
400 |
400 |
Singapore |
300 |
650 |
650 |
Tokyo |
300 |
600 |
600 |
Busan |
150 |
300 |
300 |
Osaka |
300 |
600 |
600 |
Yokohama |
300 |
600 |
600 |
From Kaohsiung Port
Unit: US$
Destination |
20’ |
40’ |
40’ HQ |
U.S. West Coast |
San Francisco |
1,440 |
1,800 |
2,025 |
Los Angeles |
1,440 |
1,800 |
2,025 |
Oakland |
1,440 |
1,800 |
2,025 |
Seattle |
1,440 |
1,800 |
2,025 |
Atlanta |
3,520 |
4,400 |
4,950 |
U.S. East Coast |
New York |
2,720 |
3,400 |
3,825 |
Memphis |
2,880 |
3,600 |
4,050 |
Kansas |
2,960 |
3,700 |
4,165 |
Houston |
2,880 |
3,600 |
4,050 |
Boston |
3,720 |
4,400 |
4,950 |
Norfolk |
3,200 |
4,000 |
4,500 |
Philadelphia |
3,440 |
4,300 |
4,840 |
Miami |
3,760 |
4,700 |
5,290 |
Europe |
Rotterdam |
2,250 |
4,400 |
4,650 |
Hamburg |
2,250 |
4,400 |
4,650 |
Frankfurt |
3,050 |
5,200 |
5,450 |
Antwerp |
2,250 |
4,400 |
4,650 |
London |
3,050 |
5,200 |
5,450 |
Amsterdam |
2,550 |
4,700 |
4,950 |
Asia |
Hong Kong |
80 |
100 |
100 |
Bangkok |
200 |
400 |
400 |
Singapore |
300 |
650 |
650 |
Tokyo |
300 |
600 |
600 |
Busan |
150 |
300 |
300 |
Osaka |
300 |
600 |
600 |
Yokohama |
300 |
600 |
600 |
Air Freight Expenses
Air freight costs vary according to the weight, classification, and destination of the goods. The following are benchmark air freight costs for documents and packages to and from Taiwan:
Unit: US$
Country |
Documents |
Packages |
500g |
1Kg |
10 Kg/0.5 m3 |
45 Kg/1 m3 |
China |
14-20 |
19-25 |
379-385 |
666-672 |
Hong Kong |
12-19 |
18-24 |
269-383 |
489-684 |
Singapore |
12-19 |
18-24 |
269-383 |
489-684 |
Japan |
14-20 |
19-25 |
280-385 |
509-672 |
South Korea |
12-19 |
18-24 |
269-383 |
489-684 |
Malaysia |
14-20 |
19-25 |
280-385 |
509-672 |
Philippines |
14-20 |
19-25 |
280-385 |
509-672 |
Indonesia |
14-20 |
19-25 |
280-385 |
509-672 |
Thailand |
14-20 |
19-25 |
280-385 |
509-672 |
United States |
25-37 |
32-44 |
846-858 |
1,619-1,632 |
Canada |
25-37 |
32-44 |
846-858 |
1,619-1,632 |
Australia |
21-33 |
28-41 |
657-669 |
1,187-1,199 |
New Zealand |
21-33 |
28-41 |
657-669 |
1,187-1,199 |
United Kingdom |
26-38 |
37-49 |
482-737 |
926-1,130 |
France |
26-38 |
37-49 |
482-737 |
926-1,130 |
Germany |
26-38 |
37-49 |
482-737 |
926-1,130 |
Spain |
26-38 |
37-49 |
482-737 |
926-1,130 |
Italy |
26-38 |
37-49 |
482-737 |
926-1,130 |
Netherlands |
26-38 |
37-49 |
482-737 |
926-1,130 |
Belgium |
26-38 |
37-49 |
482-737 |
926-1,130 |
Austria |
27-39 |
41-53 |
496956 |
955-1,643 |
Logistics Centers
The Taiwan government has focused intensely on developing the island’s economy, with demonstrable results. The success of the government’s initiatives has brought prosperity and enhanced the country’s international status. The secret to this success is Taiwan’s ability to keep pace with the global economy and to fashion a stage-by-stage outward-looking developmental strategy, which has enabled Taiwan to play to its full comparative advantages.
The government encourages businesses to make full of use Taiwan’s strategic geographic location in the Asia-Pacific region and in cross-Straits relations to maximize economic strengths, expand economic horizons, and reach a new plateau of development. A number of incentives are available for setting up a logistics center.
Registered Logistic Center
There are currently 19 registered logistics centers in Taiwan:
Name |
Government Authorities |
CTW Logistics Corp. Taoyuan Global Logistics Center |
Taipei Customs Office |
CTW Logistics Corp. Taoyuan International Airport Logistics Center |
Jvan An International Company, Ltd. Logistics Center |
Amigo Logistics Corporation Logistics Center |
Goldsun Express & Logistics Co., Ltd. Logistics Center |
Trust Logistics Corp. Logistics Center |
Formosan Rubber Group Inc. Logistics Center |
UPS Supply Chain Solution (Taiwan) Co., Ltd. Logistics Center |
Science Park Logistics Co., Ltd. Hsinchu Science Park Logistics Center |
Yusen Logistics (Taiwan), Inc. Logistics Center |
Kintetsu Would Express (Taiwan), Inc. Logistics Center |
ViewSonic Corp. Logistics Center |
Everteminal Co., Ltd. Logistics Center |
Central Taiwan Science Park Logistics Co., Ltd Logistics Center |
Taichung Customs Office |
Yes Logistics Corp, Kaohsiung Logistics Center |
Kaohsiung Customs Office |
Science Park Logistics Co., Ltd. Logistics Center |
Chimei Logistics Corp. Logistics Center |
J.Shine International Logistics Co., Ltd. Logistics Center |
CTW Logistics Corp. Kaohsiung Logistics Center |
Source: Customs Administration,July 2013
Services Performed by Logistics Centers
Customs Clearance |
- Outbound customs for quota goods
- Express customs clearance for international logistics
- Monthly customs reports for bonded goods
- General inbound and outbound customs
|
Transportation and Distribution |
- Container transportation
- General truck transportation
- Transportation of bonded goods
- Transportation of hazardous goods
- Air-SUS tractor and A/C container transportation of delicate instruments and art
- Transportation of over-length, over-width, and over-height goods
- Distribution and delivery
|
Handling |
- Goods determination and acceptance
- Pickup
- Labeling
- Packaging
- Reworking
|
Warehousing |
- Bonded goods warehousing
- General warehousing
- Chemical goods warehousing
- A/C controlled warehousing
|
Value-Added Services |
- After-sales services
- Repair and maintenance
- Testing
- Substitute payment collection for customers
- Substitute purchasing service for customers
- Assembling
- Changing and reconstructing
|
Packaging |
- Wood case design and production
- Wood case packaging
- Vacuum packaging
- Packaging of machines and delicate instruments for export
- Pallet making
- Complete packaging tape supplies
- International moving
|
Physical Documentation and Digital Data Management |
- Digital data storage
- Physical documentation storage
- Storage of other items
- Home goods storage
- Industrial and business document storage
- Seasonal goods storage
|
Third Party Logistics (3PL) Professional Services |
- Performance for outsourcing
- Long-term logistics solutions
- Total logistics solutions
- Logistics consulting
- Logistics solutions and services for individual projects
|
Source: Deloitte & Touche survey, July 2013
Costs
There are many factors that affect the actual cost, such as the nature and quantity of the goods, the period of warehousing, the size of the order, the frequency of import/export, etc. There is no standardized market price for bonded logistic warehouses; however, the following table shows typical charges for logistics warehouses:
Unit: NT$/per month
Item |
Description |
Unit |
|
Terminal handling charge for FCL shipment |
Per 20F |
Per 40F |
|
Inbound customs brokerage fee |
FCL shipment, per 20F/per 40F |
|
Drayage to warehouse for FCL shipment |
Per trip |
- Warehousing (non-tempera-ture controlled)
|
Devanning charge of palletized shipment |
Per 20F |
Per 40F |
Inbound handling charge |
|
Outbound handling charge |
Per pallet |
Storage charge |
Per pallet, per day, Per ping |
|
Depending on capacity of truck |
Per trip |
|
Generating and affixing of labels on shipment packages |
Case by case |
Source: Deloitte & Touche survey, July 2013