CMA CGM notice of force majeure - ILA strike

As of October 1, 2024, the existing contract between the United States Maritime Alliance, Ltd. (USMX) and the International Longshoremen's Association (ILA) is expired, and the ILA members have gone on strike. As a result, all major terminals on the U.S. East and Gulf Coasts will remain closed for the duration of the strike, which is unknown at this time.

CMA CGM proactively implemented contingency plans and remains fully committed to support customers by addressing potential disruptions through flexible and effective solutions.

Due to the impacts of the strike, CMA CGM is invoking Term 10 of its Bill of Lading and may charge any additional operational costs associated with vessels delayed due to the strike to cargo on the water as of October 1, 2024 with a U.S. East or Gulf Coast port of discharge.

As a reminder, for all cargo received on or after October 11, 2024, a Local Port Charge (LPC) will apply as per the governing tariff(s). Cargo received on or after October 11, 2024 will not be subject to additional operational costs under Term 10(a) as described above.

Additionally, pursuant to CMA CGM’s tariff, for the duration of the strike during any time the terminal is closed free time and demurrage will be calculated and assessed as follows:

- Free time will be extended for containers within free time at the time of strike for a period equal to that of the terminal closure.

- Demurrage will be suspended for containers in demurrage at time of strike for the duration of the terminal closure and will resume assessment at the rate tier level in which assessment was suspended.

Detention free time will be extended for containers within free time at the time of strike for a period equal to that of the terminal closure, and detention will be suspended for containers already in detention at the time of strike for the duration of the terminal closure and will resume assessment at the rate tier level in which assessment was suspended.

Notwithstanding the foregoing, customers will be subject to the below daily charges in the event the assessment of demurrage or detention charges has been suspended:

- For refrigerated containers remaining on terminal during the strike which remain plugged in or connected to a CMA CGM-supplied genset, a daily reefer power and monitoring fee of USD 100 per container will be assessed.

- In the event CMA CGM has supplied a chassis to the customer, a daily chassis provision charge of USD 30 per container will be assessed.