Advisory

Friday, 28 March 2014

MOL (America) Inc. to Stop Supplying Chassis for Store-Door Moves Effective May 1, 2014


March 28, 2014

  

Dear Store-Door Truck Carriers,                                           

 

Beginning at 12:01 am Thursday, May 1, 2014, MOL (America) Inc. will no longer supply chassis for Store-Door moves. Truck Carriers will be responsible for making their own arrangements to use proper, road legal chassis equipment when picking-up and delivering MOL containers. 

 

MOL believes Truck Carriers will be able to achieve more efficient use of the chassis than under the traditional approach used in the United States. This letter is intended to provide you with information about MOL’s chassis withdrawal plan.

 

Selection of a Chassis Equipment Provider will be the choice of the trucking company. 

 

To make this process a success for our customers as well as Truck Carriers, MOL will introduce a billing process that rewards Truck Carriers that can pick-up and deliver containers promptly to MOL customers.

 

MOL will accept an Equipment Return Surcharge (ERS) from Truck Carriers for all import/export Store-Door containers being picked-up or delivered to MOL customers, as well as an ERS when performing empty container reposition activity. The ERS amount is determined by the geographic region in which the equipment was moved, and by type:  import/export/empty. A list of locations and amounts are shown on page two. 

 

In return for the up-front addition of the ERS surcharge to the original Truck Purchase Order (TPO), MOL requires the trucker to be accountable for all chassis charges with the Equipment Provider of their choice for the first five (5) calendar days a chassis is used for MOL import Store-Door business; three (3) calendar days for export Store-Door business; and one (1) calendar day for empty reposition activity.

 

On day six (6) and beyond for import shipments and day four (4) and beyond for export shipments, MOL will compensate the Truck Carrier on a separate invoice that references the original purchase order once the chassis is returned. Equipment rates invoiced to MOL will be the rate billed to the Truck Carrier by the chassis Equipment Provider. Administration fees will not be approved for payment.

 

MOL understands this change in the chassis provision process may not be a perfect solution and reserves the right to revise the process anytime in the future. One of our goals is to be fair to Truck Carriers when making chassis use arrangements, eliminate administrative cost and improve the utilization of equipment.Beginning May 1, MOL will establish a ‘Resolution Desk’ to respond to individual issues a Truck Carrier may have with payment beyond Day 6 (import) and Day 4 (export) in the process. MOL encourages accurate and timely documentation to insure timely payment of Truck Carrier invoices.

 

Please send your invoice and the chassis provider’s evidence of rate (e.g. invoice) to:

MOL Resolution Desk:  us.chassisbilling@mol-liner.com

 

ERS rates for MOL are listed below. The ERS will be included on all Store-Door loads moving in the following regions:

 

IMPORT STORE-DOOR MOVES                           Empty Reposition

South/Southeast         $55                                                      $16

Midwest                       $55                                                      $16

Northeast                    $65                                                      $19

West                            $65                                                      $19

Norfolk (Only)             $40 (Stand Alone)                               $12

 

EXPORT STORE-DOOR MOVES (excludes all Shipper Pools)

South/Southeast         $30

Midwest                       $30

Northeast                    $40

West                            $40

Norfolk (Only)             $20   (Stand Alone)

 

 

South/Southeast includes: Savannah, Memphis, Nashville, Dallas, Houston, Atlanta, Charleston, Jacksonville, Tampa and New Orleans.

 

Midwest includes: Chicago, Kansas City, St. Paul, St. Louis, Omaha, Columbus, Cincinnati, Cleveland, Louisville and Pittsburgh.

 

Northeast includes: New York, New Jersey, Worcester and Boston

 

West includes: Seattle, Tacoma, Portland, Oakland, LA/ Long Beach, Salt Lake City and Denver.

 

For questions about MOL’s change in chassis provision policy, please contact: 

Mr. David Morano, Manager, Motor Carrier Purchasing: david.morano@mol-liner.com

 

Thank you in advance for your cooperation.

 

Very truly yours,

 

 

MOL (America) Inc.