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Comparison between Lift On Lift Off (LOLO) and Terminal Handling Charge (THC) in Logistics

  • Writer: Tân Nhật
    Tân Nhật
  • Aug 13
  • 2 min read
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In the international logistics industry, especially in container shipping, the terms Lift On Lift Off (LOLO) and Terminal Handling Charge (THC) frequently appear in quotations and service contracts. However, many import-export companies still confuse these two types of charges, leading to inaccurate logistics cost calculations.

1. What is Lift On Lift Off (LOLO)?

Lift On Lift Off refers to the container lifting fee at seaports, ICDs (Inland Container Depots), or depots.

  • Lift On (LO): the fee for lifting a container from the yard or truck onto a vessel, barge, or truck.

  • Lift Off (LO): the fee for lowering a container from a vessel, barge, or truck to the yard or truck.

LOLO charges are usually applied when containers are lifted outside the standard handling process or at inland depots. In the logistics supply chain, LOLO is a relatively small but important cost item that impacts the total freight cost.

2. What is Terminal Handling Charge (THC)?

Terminal Handling Charge is the fee for handling containers at the port (often called port THC). This is a bundled charge collected by the port or shipping line from importers and exporters to cover activities such as:

  • Lifting containers from trucks to vessels or vice versa.

  • Moving containers within the container yard.

  • Loading/unloading containers between the yard and the quay.

  • Managing and storing containers during the free storage period.

  • Processing container-related documents.

In ocean freight, THC is almost always mandatory and is clearly stated in container freight quotations.

3. Comparison between LOLO and THC in logistics

Criteria

Lift On Lift Off (LOLO)

Terminal Handling Charge (THC)

Definition

A charge for a single lift-on or lift-off operation.

A bundled fee covering all container handling operations at the port.

Scope

Only the lifting operation at the port, ICD, or depot.

Includes lifting, yard movements, vessel loading/unloading, and container management.

Charging Method

Charged per lift operation (either on or off).

Charged once per container for all terminal handling processes.

Collected By

Port, ICD, or depot operators.

Seaport terminal or shipping line.

Application

Applied when containers are lifted outside the standard handling process.

Applied in the standard import/export process at seaports.


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4. Practical example in container shipping

  • LOLO: A truck delivers an empty container to the depot → the depot charges Lift Off to lower the container to the yard. When picking up the loaded container → the depot charges Lift On to load container onto the truck.

  • THC: An export container is handled through Phuoc An Port → the shipping line charges THC, which includes lifting the container from the truck onto the vessel and moving it within the port yard.

5. Relationship between LOLO and THC

LOLO is only a part of THC. If THC is considered an “all-in-one” fee for handling containers at the port, LOLO is a single-operation cost for each lifting activity. In all-in logistics service quotations, LOLO is often listed separately when incurred outside the main seaport.

In summary:

  • LOLO = single lift-on or lift-off fee.

  • THC = total handling fee for containers at the port, which includes LOLO.

Understanding the difference between LOLO and THC helps businesses optimize logistics costs, avoid double-charging, and ensure accurate pricing when negotiating with shipping lines and port operators.

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