Enforcement on shipping to the US continues to increase rapidly. On November 18, 2025, the Federal Maritime Commission (FMC) announced the recovery of $1,350,000 in civil penalties through two settlement agreements.
Summary of executive actions
Hyundai Glovis Co. Ltd., settlement of $1.3 million
FMC claimed that the Hyundai Glavis:
- providing liner services inconsistent with its published commercial tariffs, and
- It works without maintaining tariffs that reflect all active rates, fees, classifications and rules as applicable.
According to the statement, FMC staff alleged that the actions continued for more than a year and involved multiple shipments.
Olympiad Line LLC, $50,000 settlement
The NVOCC faced allegations of providing services inconsistent with its published tariffs and settled on the same non-acceptance basis.
“Olympiad violated the Transportation Act by providing services in line commerce that did not conform to the rates, charges, classifications, rules, and practices set forth in its published tariff. Olympiad paid $50,000 to settle the charges.Read the FMC statement.
All fines collected are paid into the US Treasury.
The story of two “tariffs”
At a time when global headlines are dominated by tariffs meaning customs duties, import duties imposed at borders, it is important to emphasize that the “tariffs” referred to in this FMC case are not customs duties.
They are commercial rate tariffs that carriers and NVOCCs are required to publish under the Transportation Act and describe their carrier rates, surcharges, terms and conditions of service.
Failure to publish or comply with these tariffs is a violation of regulations, separate and distinct from payment of entry fees.
As the word “tariff” dominates global trade headlines, particularly in the US-China, EU-US and Africa regional duty regimes, it is important to separate the two concepts:
- Customs tariffs (import/export duties)
These are taxes imposed by the government on goods entering a country. They are now a political and economic turning point across world trade.
- FMC Commercial Tariffs (Carrier Service Tariffs/NVOCC)
These are not taxes. They are published schedules of freight rates, surcharges, accessories, rules and terms of service that VOCCs and NVOCCs must publicly display when offering liner services in US trade.
FMC fines only apply to the second category.
This distinction is important because many shippers assume that “tariff issues” are simply related to customs duties, when in practice carriers also face tough obligations regarding transparency and the application of their commercial tariffs.
Why this matters to industry stakeholders
- Transparency in trade tariffs is a must.
Failure to publish or update shipping rates, shelter charges, document charges, or service practices can result in significant penalties.
- Deviations from published tariffs will subject carriers to enforcement.
Unpublished surcharges, unofficial discounts or inconsistent practices violate FMC requirements.
- US jurisdiction applies regardless of the carrier’s country of residence.
Any carrier engaged in foreign commerce of the United States is subject to these obligations.
- Shippers and SMEs should distinguish between customs duties and carrier tariffs.
Many SMEs are currently focusing on geopolitical tariff changes (duties), but they also need to ensure that their logistics partners are compliant. commercial Tariff rules.
Non-compliance upstream can lead to billing disputes, financial exposure or contract irregularities downstream.
- FMC enforcement is intensifying.
Following OSRA, the FMC has increased oversight of rate transparency, billing practices, and carrier behavior. The latest enforcement actions reinforce this trend.
Practical steps for carriers, NVOCCs and products
- Do a full review of the sovereign tariff
- Verify that your business rates:
- They are published as needed
- Reflect all current rates and fees
- Align with actual operating practices
- Auditing business practices against registered tariffs
- Ensure that rate exceptions, discounts, or accessories are correctly updated in the published tariff
- Strengthen compliance and documentation
- Internal audits help identify discrepancies before they reach FMC’s radar
Cargo owners should request tariff transparency from your service providers as understanding the trade tariff, in addition to customs duties, will help avoid downstream disputes.
Broader implications for the maritime sector
This executive result shows that while the global focus is more on trade wars, retaliatory duties and tariff changes, regulators are simultaneously intensifying oversight of carrier transparency and pricing governance.
Digitization, dynamic pricing models, and volatile markets are transforming transportation, but the fundamental need for transparent, published, and consistently applied commercial tariffs remains unchanged.
For shippers and logistics providers, this reinforces the following:
- A closer look at carriers.
- Stronger contract management, and
- Greater focus on regulatory alignment across service providers.
conclusion
FMC’s recovery of $1.35 million in fines sends a clear message throughout the industry: while global politics debates tariffs, maritime regulators enforce an equally important requirement, namely adherence to trade tariff transparency.
In the current uncertain environment, adherence to these basic rules is essential for operational stability, fairness and accountability throughout the supply chain.
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