You did everything right. You negotiated rates, locked in contracts, planned your inventory months ahead.
But still confused on why your freight rate has increased?
This is because of the war that breaks out thousands of miles away
Carriers add war risk surcharges, route deviation fees, emergency fuel costs, so the cost keeps piling on, shipment after shipment.
In this blog, we'll break down exactly what these surcharges are, why they keep showing up on your invoices, and what you can do to stop them from silently killing your margins.
What Are War-Related Surcharges?
Let's keep it simple. War-related surcharges are extra fees that shipping carriers and logistics providers add to your freight bill when conflict makes their job riskier, longer, or more expensive. That's it. They're not part of your base rate. They show up on top of everything you already agreed to pay.
Why do they add them?
Because when a war zone sits near a major shipping lane, carriers have to reroute vessels, burn more fuel, buy extra insurance, and deal with delays they can't predict. All of that costs money — and they're not going to eat it.
They pass it straight to you. Whether it's labeled as a war risk surcharge, a security fee, or an emergency bunker adjustment — it's all the same thing. You're paying for a problem you didn't create.
Why Surcharges Increased in 2026
Here's what's making 2026 so painful. The war in Ukraine isn't slowing down. Tensions in the Middle East are still escalating. The Red Sea — one of the most critical shipping corridors in the world — is practically a no-go zone for many carriers.
And now, the Strait of Hormuz, the narrow passage that connects the Persian Gulf to the open ocean, is under threat too.
Nearly a third of the world's seaborne oil passes through it — so when that route gets tense, everyone feels it.
So what does that mean for you?
Carriers are rerouting vessels thousands of miles out of the way. They're burning more fuel, spending more days at sea, and paying through the roof for insurance. The routes you used to rely on?
They're either too risky or completely off the table. And all that added cost, all that uncertainty — it's not staying with the carriers.
It's showing up on your freight bill as surcharges that keep getting bigger, transit times that keep getting longer, and invoices that look nothing like what you planned for.
If it feels like every shipment in 2026 costs more than the last one — it probably does. And until these conflicts cool down, that's not going to change.
Main Types of Surcharges Importers Face
So what exactly are you being charged for? Let's break it down — because these fees have names, and once you know them, you'll start spotting them on every invoice.
- War Risk Surcharge (WRS)
- This is the big one. Carriers charge this when vessels have to pass through or near conflict zones.
- It covers the added insurance cost of putting a ship in harm's way. The riskier the region, the higher the fee.
- Security Surcharge
- Think of this as the cost of keeping cargo and crew safe. Enhanced security protocols, armed escorts, monitoring systems — it all adds up, and guess who's paying for it.
- Fuel Surcharge (BAF/Bunker Adjustment Factor)
- Fuel is already one of the biggest costs in shipping. Now add longer detours around war zones, and carriers are burning way more than planned.
- This surcharge adjusts with fuel prices — and when oil markets get shaky because of the same conflicts causing the reroutes, you get hit twice.
- Emergency Bunker Surcharge (EBS)
- On top of the regular fuel surcharge, carriers sometimes slap on an emergency adjustment when fuel costs spike suddenly.
- It's basically their way of saying "we didn't budget for this either, but you're covering it."
- Congestion Surcharge
- When multiple carriers reroute to the same "safer" ports, those ports get overwhelmed. More ships waiting, longer turnaround times, higher port fees. And yes — that cost gets added to your bill too.
- Route Deviation Surcharge
- This one's straightforward. If a carrier has to skip a direct route and go the long way around — like sailing around the Cape of Good Hope instead of through the Suez Canal — you're paying for those extra miles.
The frustrating part? You don't get to pick and choose. These charges stack on top of each other, and on a single shipment, you could be hit with all of them at once.
How These Surcharges Affect Landed Cost
Here's where it really stings. You look at your base freight rate and think, okay, that's manageable. It hasn't moved much.
But then the invoice arrives, and the total is way higher than you expected.
What happened? Surcharges happened.
Your landed cost isn't just the freight rate. It's everything stacked on top. And when those surcharges pile up, here's what actually happens:
- Your real shipping cost jumps — even when the base rate looks stable, surcharges can push the actual cost 20-30% higher than what you budgeted for.
- Your margins shrink quietly — you don't always notice it right away, but shipment after shipment, the extra fees are eating into your profit.
- Your pricing breaks — the quotes you gave your customers were based on numbers that don't exist anymore. Now you're either absorbing the loss or having uncomfortable conversations about price increases.
- Your budgeting becomes guesswork — these surcharges change without warning. One month it's a fuel spike, next month it's a new congestion fee. You can't plan around something that keeps moving.
- Your cash flow takes a hit — higher landed costs mean more money tied up in every shipment. That's money you could've used somewhere else in your business.
The importers who survive this aren't the ones hoping rates go down. They're the ones who stop looking at just the base rate and start tracking the full landed cost on every single shipment.
Because if you're only watching the rate, you're missing where your money is actually going.
Which Importers Are Hit the Hardest
Not every importer is feeling this equally. Some are getting hit way harder than others — and it all comes down to what you're importing and where it's coming from
If you're a U.S. importer bringing in goods from any of these regions, you're right in the firing line:
- Asia (China, India, Southeast Asia) — This is where most U.S. imports come from. And most of that cargo moves through the Suez Canal or the Red Sea. With those routes disrupted, your shipments are going the long way around Africa. That's extra weeks on the water and surcharges on every container.
- Middle East — If you're sourcing raw materials, chemicals, or petroleum-based products from the Gulf, the Strait of Hormuz tensions are a direct problem. Carriers are charging heavy war risk and security premiums just to operate in that area.
- Europe — A lot of U.S. importers rely on European suppliers for machinery, auto parts, pharmaceuticals, and specialty goods. Those routes connect through the same conflict-affected corridors, and the rerouting costs are landing straight on your invoice.
And it's not just about the route. The type of U.S. importer matters too:
- High-volume importers — If you're shipping dozens of containers a month into U.S. ports, even a small per-container surcharge becomes a massive number by end of quarter.
- Low-margin businesses — Retail, consumer goods, auto parts, electronics — if your margins are already thin, there's almost no room to absorb these extra costs without it hurting your pricing.
- Small and mid-sized U.S. importers — Large corporations can negotiate surcharge caps or absorb short-term losses. If you're a smaller operation, you don't have that luxury. Every extra dollar on a shipment hits different when you're running a tight business.
If you fall into any of these categories, you're not just dealing with higher freight costs — you're fighting to protect your entire business model.
How U.S. Importers Can Respond
Look, you can't stop a war. You can't control fuel prices. But you're not powerless here. There are things you can do right now to take back some control over what you're paying.
- Review your routing options — Don't just accept whatever route your carrier picks. Ask questions. Are there alternative lanes that avoid the worst surcharge zones? Sometimes a slightly different origin port or transshipment hub can save you real money.
- Negotiate surcharge terms upfront — Most importers just accept surcharges as they come. Don't be that importer. Talk to your carrier or freight forwarder about capping surcharges, locking them for a set period, or building them into your contract so there are no surprises.
- Increase your safety stock — When transit times are unpredictable, running lean inventory is a risk you can't afford. Building a buffer stock means you're not paying rush shipping or premium rates every time a shipment gets delayed.
- Diversify your suppliers — If all your goods come from one region through one conflict-heavy route, you're exposed. Start exploring suppliers in regions with cleaner shipping lanes. It takes time, but it reduces your risk long term.
- Work closely with your freight partner — This is not the time to set it and forget it. You need a freight forwarder who's watching these surcharges daily, giving you a heads up before they spike, and actively finding ways to keep your costs down. If your current partner isn't doing that, it's time to find one who will.
- Track your full landed cost — Stop looking at just the base rate. Build a system where you're tracking every surcharge, every fee, every extra cost on every shipment. You can't fix what you can't see.
The importers who come out of this in good shape won't be the ones who waited for things to get better. They'll be the ones who adjusted, asked harder questions, and stayed ahead of it.
Conclusion
War-related surcharges aren't going away. They're part of your cost now. The importers who plan ahead will survive. The ones who don't, won't.
You can't stop the wars. But you can stop overpaying because of them. We've helped importers navigate exactly this — for over 40 years. Let's make sure your next shipment doesn't cost more than it should.