Short answer: drayage is trucking a shipping container over a short distance, usually between a seaport or rail terminal and a warehouse. It runs on its own clock: terminal appointments, free time and daily charges (demurrage, detention and per diem) that can cost more than the move itself if the dispatcher plans badly.
Where drayage fits
A container crossing the ocean is intermodal freight: it moves by ship, often by rail and always, at some point, by truck, without the cargo being unloaded from the box. The truck legs at each end are drayage. A typical import:
- The vessel arrives and the container is discharged at the marine terminal.
- Customs releases the cargo and the steamship line releases the container (freight paid, documents in order).
- The drayage carrier books a terminal appointment, picks the container up on a chassis and delivers it to the customer's warehouse.
- The container is unloaded (live, or dropped and picked up later).
- The empty is returned to the terminal or a depot the line designates, or reused for an export load (a street turn).
The players
- Steamship line (ocean carrier): owns or leases the container, sets free time and bills per diem.
- Marine terminal: handles containers at the port, runs the appointment system, bills demurrage or storage.
- Beneficial cargo owner (BCO): the importer or exporter who owns the goods.
- Freight forwarder or customs broker: arranges documents and customs clearance.
- Drayage carrier: the trucking company that moves the container.
Equipment: containers and chassis
Most containers are 20 or 40 feet long, with 40-foot high cubes and 45-foot boxes also common; reefer containers need power from a genset while on the road. A container can't sit on a truck by itself: it rides on a chassis, a wheeled frame that may come from a chassis pool, the steamship line or the trucker's own fleet. Chassis availability and condition are daily problems in drayage. Federal rules make intermodal equipment providers responsible for chassis roadability (49 CFR Part 390, Subpart C).
Getting into the terminal: TWIC and UIIA
- TWIC: drivers need a Transportation Worker Identification Credential from TSA to enter secure port areas without an escort (TSA).
- UIIA: motor carriers sign the Uniform Intermodal Interchange and Facilities Access Agreement to use steamship-line containers and chassis. It sets the terms for equipment interchange, damage and per diem (UIIA).
- Port registration: some ports add their own rules. The Port of Long Beach, for example, runs a Clean Trucks Program that requires trucks to be registered.
Demurrage, detention and per diem
| Charge | When it applies | Usually billed by |
|---|---|---|
| Demurrage | The loaded container stays inside the terminal after its free time (after the last free day). | Terminal or steamship line |
| Detention / per diem | The container (and sometimes the chassis) stays outside the terminal longer than the free days allowed for return. | Steamship line or equipment provider |
| Storage | Some terminals charge storage separately from demurrage. | Terminal |
The names are used loosely in the industry, so always read which charge an invoice means. What matters for the dispatcher is the same: know the last free day and the return deadline for every container, and plan pickups and returns around them. Charges are per day and often increase in tiers.
The FMC billing rules
The Federal Maritime Commission regulates how ocean carriers and terminals bill demurrage and detention (46 CFR Part 541). Three rules every drayage dispatcher should know:
- The invoice must be issued within 30 calendar days from the date the charge was last incurred. If it isn't, the billed party is not required to pay.
- The invoice must include minimum information, such as the bill of lading number, container number, port of discharge for imports and why the billed party is liable. Missing required information removes the obligation to pay.
- The billed party gets at least 30 calendar days from the invoice date to request mitigation, refund or waiver.
What the drayage dispatcher actually does
- Tracks vessel arrival, customs and line release for every container.
- Books terminal appointments, which can be scarce at busy ports.
- Matches drivers, chassis and appointments, often several moves per driver per day.
- Decides on pre-pulls (pulling a container to the yard before the last free day) when the delivery appointment is later.
- Plans dual transactions (drop an empty and pick up a load in the same terminal visit) and street turns to cut empty trips.
- Documents waiting time and bills drayage accessorials: chassis rental, pre-pull, storage, congestion and waiting time.
Port-specific data helps: the Port of Los Angeles publishes container dwell and turn-time data through its Port Optimizer.
Hours of service in drayage
Many drayage drivers work locally and may use the 150 air-mile short-haul exception from ELD and break requirements, but long terminal lines still burn the 14-hour window. See hours of service for dispatchers.
Learn drayage dispatching
Our Drayage course walks through the whole container lifecycle with day-by-day charge calculations and a vessel-to-delivery capstone.
Sources
- 46 CFR Part 541, demurrage and detention (Federal Maritime Commission)
- 49 CFR Part 390, Subpart C, intermodal equipment providers
- TSA, TWIC
- Uniform Intermodal Interchange and Facilities Access Agreement
- Port of Long Beach, Clean Trucks Program