Ocean Freight Surcharges

GRI Surcharge (General Rate Increase)

GRI (General Rate Increase): Across-the-board freight rate increase. When it applies, typical range, and who pays under common Incoterms.

Code
GRI
Name
General Rate Increase
Typical range
$100-$500+ per TEU per announcement
Routes
All routes, but most common on Americas trades

General Rate Increase (GRI) is a broad increase in base ocean freight rates announced by shipping lines, typically effective on the 1st or 15th of a month. Unlike surcharges that compensate for specific costs, GRI represents a general increase in the underlying freight rate.

Carriers announce GRI when: • Market demand exceeds available capacity • Operating costs increase across the board • Previous rate levels become unsustainable • Peak season approaches

GRI announcements typically come 2-4 weeks before implementation, allowing shippers to plan. However, whether the full GRI "sticks" depends on market conditions - in weak markets, actual rate increases may be less than announced.

GRI is most common on routes to/from the Americas and is announced more frequently during peak shipping seasons (August-October for retail inventory buildup).

Important: Contract shippers with negotiated rates are usually protected from GRI during their contract period, while spot market shippers bear the full increase.

When GRI applies

Announced periodically, often before peak seasons. Usually effective 1st or 15th of month.

Who pays GRI under common Incoterms

  • FOB: buyer
  • CIF: seller
  • EXW: buyer
  • DAP: seller

How to minimize GRI

  • Lock in rates with long-term service contracts
  • Ship before GRI effective date
  • Negotiate GRI caps or immunity clauses
  • Build GRI contingency into budgets
  • Monitor carrier announcements proactively

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Frequently asked questions

What is the GRI surcharge?

GRI stands for General Rate Increase. Across-the-board freight rate increase.

When does GRI apply?

Announced periodically, often before peak seasons. Usually effective 1st or 15th of month.

How much is GRI?

The typical range is $100-$500+ per TEU per announcement. Confirm the current amount with your carrier or forwarder.