FMC Fines MSC $22.67M for Demurrage, Detention and Reefer Tariff Violations

The U.S. Federal Maritime Commission (FMC) has fined MSC Mediterranean Shipping Company a total of $22.67 million, closing an enforcement case tied to multiple Shipping Act violations.

The FMC said MSC broke the rules in three main ways over several years, mostly involving demurrage, detention, and tariff clarity:

2018–2020: MSC billed demurrage and detention to customs agents listed only as “notify parties.” The FMC said these agents weren’t responsible for moving the cargo and shouldn’t have been charged. Penalty: $65,000.

2021 early 2023: MSC’s tariff didn’t clearly explain fees for non-operating reefers (NORs).
The FMC said the violation became “knowing and willful” after MSC said in March 2022 it would fix the tariff. Penalty: $9.46 million.

2021: MSC overbilled demurrage and detention on NORs in about 23% of the bills that year. The FMC said the scale showed an unreasonable practice. Penalty: $13.145 million.

By Kiyaan Singh

Kiyaan Singh is the editor of EximHQ, covering global trade, shipping, ports, logistics infrastructure, export-import policy, shipping lines, port operations, and supply-chain developments. His reporting tracks the companies, routes, policies, investments, and people shaping international commerce and maritime logistics.