But what happens if logistics charges increase?
The Port Klang Authority (PKA) has a proposal in the works to raise charges for smaller cargo shipments from January 2027 – and this may affect small retailers and online sellers and importers, who could pass the added costs on to customers.
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The proposed higher charges cover, among others, storing, handling and processing less-than-container-load (LCL) cargo.
LCL cargo refers to goods shipped in quantities too small to fill an entire container. This is the type of cargo most ordinary consumers’ packages will fall under – small items from many different overseas sellers bundled together to fill one container.
PKA general manager Datuk Capt K. Subramaniam said the proposal has not been approved and is still open for public feedback through the Unified Public Consultation (UPC) process, handled by the Malaysia Productivity Corporation.
“We will address any issues raised during consultation with the relevant parties and make changes where needed,” he said.
The proposal will then be reviewed by the Transport Ministry before a final decision is made by the Transport Minister.
It must also be drafted by the Attorney General’s Chambers and gazetted before it can take effect.
“If approved, a reasonable adjustment period – usually about one month – will be given before the revised charges are implemented,” Capt Subramaniam said when contacted.
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The charges were last reviewed in 2015. Under the proposal, the charge for handling LCL cargo at warehouses would rise from RM12 to RM16.50 a tonne.
The minimum charge would go up from RM20 to RM30. Other charges such as storage, overtime work, cargo surveys and carpentry services would rise by 30%.
For freight forwarding services, the terminal-handling charge is proposed at RM60 per cubic metre, up from RM55.
The declaration charge would rise from RM30 to RM35 for each house bill of lading, while the documentation charge would increase from RM170 to RM227 for each delivery order.
Import administration charges are also proposed to rise by 30%, depending on the type of importer or co-loader.
The proposed increase would also affect exporters who ship smaller volumes of goods through LCL containers. This could raise costs for local businesses sending products overseas, particularly small and medium-sized enterprises (SMEs) that do not have enough cargo to fill a full container.
The PKA said service providers had been asking for higher rates since 2020 due to the rising costs of fuel, labour, electricity, water, rent and equipment.
Capt Subramaniam said the PKA had spoken to service providers, cargo owners, warehouse operators, freight-forwarding groups and manufacturers before putting forward the proposal.
He said feedback from manufacturers had been considered and the proposed rates adjusted.
The matter could still be discussed further depending on feedback during the UPC process.
On the concerns of small businesses and online sellers, Capt Subramaniam said the PKA recognises that many of them use LCL shipments as they do not have enough goods to fill a container.
He said PKA had tried to reduce the impact on small businesses and e-commerce sellers, and would keep engaging affected parties after the public consultation.
