Shippers to Bear Cost of Abandoned Cargo Under China’s Revised Maritime Law

On May 1, 2026, the revised Maritime Law will come into effect, introducing significant changes to the responsibility rules for unclaimed cargo at the destination port. The long-standing principle that placed responsibility on the consignee has been overturned, shifting the burden to the shipper. This change means that any costs incurred due to abandoned cargo, such as port charges, container detention fees, storage fees, and disposal costs, will now be borne by the party who booked the shipment.

Rule Restructuring: From Consignee to Shipper Responsibility

The new Maritime Law's Article 93 specifies that if cargo is not claimed at the discharge port, the carrier can store it at a warehouse or other suitable location. The costs and risks associated with this are primarily the shipper's responsibility, provided the carrier promptly informs the shipper.

• Reversal of Responsibility: The shift from “consignee priority responsibility” to “shipper principle responsibility.”
• Detailed Responsibility Triggers: The consignee is only liable if they have exercised their rights under the transport contract and then refuse to claim the cargo.
• New Notification Obligation: The carrier must promptly notify the shipper, or they may bear the expanded costs themselves.

This means that in scenarios where the consignee is unreachable or has never claimed the cargo, the responsibility falls directly on the shipper.

“Who Books, Who Bears”: Shipper as Core Responsibility Holder

The revised law further clarifies the legal definition of “shipper.” There are two types:

• Contractual Shipper: The party that enters into the transport contract with the carrier (i.e., the booking party).
• Actual Shipper: The party that physically delivers the goods (e.g., a factory).

In cases of unclaimed cargo, the contractual shipper is primarily responsible, while the actual shipper generally does not bear direct responsibility. This has led to an industry consensus: “Who books, who bears the risk.”

Escalating Costs of Abandoned Cargo

Under the new rules, the cost structure for abandoned cargo at the destination port will significantly expand:

• Port Charges: Accumulate daily, increasing with the duration.
• Demurrage/Detention Fees: High daily rates for container usage.
• Storage and Handling Fees: Costs for unloading, transferring, and storing goods.
• Auction/Destruction Costs: Expenses related to disposing of the cargo.
• Legal Fees: Costs associated with recovery and litigation.

Previously, companies might only lose the cargo's value, but now they face potential additional costs amounting to tens of thousands of RMB.

Chain Reaction: Forwarding Industry Faces “Advanced Recovery Pressure”

The new regulations not only affect foreign trade companies but also have profound impacts on the forwarding industry:

• Shortened Recovery Path: Shipping companies can directly seek compensation from the contractual shipper within the country.
• Role Shift for Forwarders: From “intermediary coordinator” to “potential liability holder.”
• Increased Bad Debt Risk: Forwarders advancing costs may face difficulties in recovering funds from clients who become unreachable.

Especially for forwarders serving small clients and cross-border e-commerce sellers, there is an increased risk of credit and financial pressure.

Legal Boundaries Defined: Three Key Application Points

In practical operations, focus on these three key points:

1. Identify the Responsible Party: Determine the “contractual shipper” based on whether they signed the transport contract with the carrier, not the bill of lading header or actual shipper.
2. Carrier's Obligation to Notify: If the carrier fails to notify the shipper promptly, leading to increased costs, the shipper can refuse to bear the additional expenses.
3. Consignee's Exercise of Rights: Responsibility is only transferred if the consignee exercises their rights, such as submitting the original bill of lading or issuing delivery instructions.

Expanded Shipper Rights and Obligations

Beyond changes in responsibility, the new law also strengthens the shipper's duties:

• Ensure the goods are suitable for transport and delivered as agreed (Article 67).
• Bear the costs and risks of unclaimed cargo (Article 93).
• New contract modification rights (Article 96).

Overall, this reflects a balance of rights and responsibilities, but with risks moving forward.

Industry Response: From “Rough Operations” to “Refined Risk Control”

In response to the new regulations, companies need to make systematic adjustments:

• Foreign Trade Companies: Strengthen customer credit checks to reduce the likelihood of abandoned cargo, clearly define abandonment responsibilities and recovery clauses in contracts, and monitor cargo dynamics to preemptively warn of risks.
• Forwarding Companies: Clarify “agent” status to avoid becoming the contractual shipper, revise booking agreements to lock in responsibility, establish written notification and record-keeping mechanisms, and strictly control customer entry to avoid high-risk orders.

Final Thoughts

The implementation of the new Maritime Law's Article 93 is fundamentally a systemic correction to the long-standing issue of “cross-border recovery difficulties.” For carriers, the recovery path is clearer, but for foreign trade companies and forwarders, the risk has significantly shifted forward.

After May 1, the old logic of “cargo delivery ends at the port” will be completely abolished. In its place is a more explicit yet stringent rule: if no one claims the cargo, the responsibility first falls on the shipper. Those who can quickly upgrade their risk control systems will stand firm in the new round of industry reshuffling.