Tariff
Logistics Term
What’s Tariff?
The embargo is when shipping companies stop accepting transport requests. That can be in a specific product type or geographic area. During the embargo, you can’t schedule a pick-up for days, weeks, or months. Embargo causes an increase in transport rates because many shippers fight for the few available spots. Embargoes take place when carriers are overwhelmed and don’t have enough resources to meet all the shipping requests at the time.
Tariff - In The Field
There are three main tariffs. First, they include ad valorem tariff, a Latin word meaning “according to value.” This type of tariff is charged as a fixed percentage of the value of a commodity. The specific tariff which is charged as a fixed dollar amount per section of imported goods. Finally, preferential duties are lowered or eliminated depending on the country of origin.
