O/F, A/F & FRT: China Export Base Freight Rates Explained

Every shipping invoice starts with a base freight rate — the core cost of physically moving your cargo from origin to destination. Before BAF, GRI, THC, or any other surcharge is added, the base freight rate is the single largest component of your shipping cost. Yet many importers don't fully understand how these rates are set, why they change, or how to interpret the codes that appear on their quotes.

This guide explains the three most common base freight codes from China: O/F (Ocean Freight), A/F (Air Freight), and FRT (Freight) — and what drives pricing for each.

O/F — Ocean Freight

What Is O/F?

The Ocean Freight (O/F) charge is the base cost for moving a container by sea from an origin port (e.g., Shanghai, Shenzhen, Ningbo) to a destination port (e.g., Los Angeles, Hamburg, Sydney). It is quoted per TEU (20-foot container) or FEU (40-foot container).

O/F does not include:

• Origin surcharges (THC, DOC, Seal, etc.)
• Fuel surcharges (BAF, LSS)
• Destination surcharges (DTHC, D/O)
• Customs clearance or inland transport

O/F is purely the port-to-port ocean leg cost.

How O/F Is Quoted

Container Type	Typical O/F Range (China → US West Coast)	China → Europe
20ft (1 TEU)	$800–$3,500	$900–$4,000
40ft Standard (1 FEU)	$1,200–$5,000	$1,400–$5,500
40ft High Cube (1 FEU HC)	$1,200–$5,200	$1,400–$5,700
45ft High Cube	$1,400–$5,800	$1,500–$6,200

Ranges reflect 2024–2026 market conditions. Rates fluctuate significantly based on capacity, season, and geopolitical factors.

What Drives O/F Fluctuations?

Ocean freight rates are among the most volatile commodity prices in global trade. Key drivers:

• Vessel capacity utilization: When vessels sail full, carriers raise rates. When empty spaces are available, competition drives rates down
• Blank sailings: Carriers cancel scheduled voyages to artificially tighten capacity and support rates
• Port congestion: Backed-up ports reduce effective fleet capacity, pushing rates up
• Geopolitical disruptions: Red Sea diversions, canal blockages, or sanction-related route changes force longer voyages, reducing available capacity
• Seasonal demand: Q3–Q4 pre-holiday production surge drives peak season rate increases
• New vessel deliveries: Periods of heavy newbuild deliveries (2023–2025) increased supply, pressuring rates down

Spot Rate vs Contract Rate

O/F is offered under two structures:

Rate Type	How It Works	Best For
Spot Rate	Market rate at time of booking; changes weekly or daily	Occasional shippers, small volumes
Long-term Contract (Service Contract)	Fixed rate agreed 3–12 months in advance; carrier guarantees space, shipper guarantees volume	Regular high-volume shippers
FAK (Freight All Kinds)	Single rate applied regardless of cargo type; forwarder standard rate	Mid-volume shippers via forwarders

Key insight: In a rising market, contract rates protect you. In a falling market, spot rates win. The best strategy is a blend: contract a portion of your volume and leave flexibility for spot.

O/F on LCL Shipments

For Less than Container Load (LCL) shipments, O/F is quoted per cubic meter (CBM) rather than per container. Typical ranges: $15–$80 per CBM from China, depending on route and season. LCL O/F reflects the coloader's allocated cost per CBM in a shared container.

A/F — Air Freight

What Is A/F?

The Air Freight (A/F) charge is the base cost for moving cargo by air from an origin airport to a destination airport. Unlike ocean freight, A/F is always quoted per kilogram (kg), and billing uses the higher of actual weight or volumetric weight.

Volumetric Weight Calculation

Air freight volumetric weight uses a divisor of 6,000 cm³/kg (IATA standard):

Volumetric Weight (kg) = (Length cm × Width cm × Height cm) ÷ 6,000

Example: A box 60cm × 50cm × 40cm = 120,000 cm³ ÷ 6,000 = 20 kg volumetric weight. If the actual weight is 12 kg, the chargeable weight is 20 kg.

This is why light, bulky cargo (furniture parts, foam packaging, empty containers, clothing) is disproportionately expensive to ship by air.

A/F Ranges from China

Destination	A/F Range (per kg)	Transit Time
China → US (West Coast)	$3.50–$8.00	3–5 days
China → US (East Coast)	$4.00–$9.00	4–6 days
China → Europe	$3.00–$7.50	3–5 days
China → Australia	$2.50–$6.50	2–4 days
China → Middle East	$2.00–$5.50	2–4 days
China → Southeast Asia	$1.50–$4.00	1–3 days

Add FSC ($0.30–$1.50/kg), SSC ($0.06–$0.20/kg), and forwarding fees to get total all-in cost.

What Drives A/F Rates?

• Aircraft belly capacity: ~50% of global air freight travels in passenger aircraft bellies. When passenger demand drops (COVID, seasonal), belly capacity shrinks, pushing A/F up
• Dedicated freighter availability: Long-haul routes depend on dedicated freighters. Boeing 747F and 777F capacity directly affects rates
• E-commerce surge: China's cross-border e-commerce (Temu, Shein, AliExpress) has permanently elevated A/F demand on key lanes
• Seasonal spikes: Q4 (Black Friday / Christmas) and Chinese New Year cause A/F to spike 40–100% above baseline
• Fuel (Jet A-1) prices: Directly impacts the FSC component, indirectly affects A/F base as airlines bake fuel into pricing during contract negotiations

Minimum Charge

All air freight quotes include a minimum chargeable weight — typically 45 kg or 100 kg. If your shipment weighs 10 kg, you still pay for 45 kg minimum. For very small shipments, express courier services (DHL, FedEx, UPS) are often cheaper than direct air freight because their minimum charges are lower.

FRT — Freight (Generic Freight Code)

What Is FRT?

FRT is a generic freight code that appears on multimodal or combined transport invoices when the billing system uses a single unified freight line rather than splitting into O/F and A/F components. Common contexts:

• Rail freight (China–Europe rail): China-Europe rail services often bill the overland rail leg as "FRT" rather than using ocean or air-specific codes
• Road freight / truck: Cross-border truck freight invoices from China to Southeast Asia or Central Asia commonly use FRT
• Multimodal combined billing: When a forwarder issues a single invoice covering sea + rail + truck, the combined leg may be shown as FRT
• Generic forwarder systems: Some freight management systems default to FRT as a catch-all code when the transport mode isn't separately configured

FRT Rate Ranges

Mode	FRT Typical Range	Unit
China–Europe Rail (FCL)	$3,000–$7,000	Per 40ft container
China–Europe Rail (LCL)	$80–$180	Per CBM
China–SEA Road	$800–$2,500	Per 40ft container
Cross-border truck (ton)	$50–$250	Per metric ton

O/F vs A/F vs FRT — Comparison Table

Factor	O/F (Ocean)	A/F (Air)	FRT (Rail/Road/Multi)
Unit of billing	Per TEU/FEU or CBM (LCL)	Per kg (chargeable weight)	Per container, ton, or CBM
Typical speed	14–40 days	2–6 days	12–20 days (rail)
Cost level	Lowest	Highest (5–10× ocean)	Middle (rail ~2–3× ocean)
Volatility	High (market-driven)	High (demand + fuel)	Medium (contract-heavy)
Minimum charge	Per container (no minimum for FCL)	45–100 kg	Typically 1 CBM or 1 ton
Best for	High volume, non-urgent cargo	Urgent, high-value, perishables	Europe-bound cargo needing transit time middle ground

How Base Freight Rate Fits Into Your Total Landed Cost

The base freight rate is only the starting point. For a 40ft FCL from Shenzhen to Hamburg, a typical all-in breakdown looks like:

Cost Component	Typical Amount	% of Total
O/F Base Rate	$2,500	~45%
BAF / LSS (Fuel)	$400–$800	~12%
Origin THC + DOC	$250–$350	~6%
Destination THC + D/O	$200–$400	~7%
WRS (if Red Sea active)	$100–$200	~3%
GRI / PSS (peak season)	$0–$600	0–10%
Inland transport (EU)	$300–$800	~10%
Customs clearance	$150–$400	~5%
Total Landed (ex-duty)	$3,900–$5,850	100%

Key insight: The O/F base rate is ~45% of total cost on average. Surcharges and destination fees collectively account for more than half. This is why comparing quotes on base rate alone is misleading — always compare all-in totals.

5 Practical Tips for Managing Base Freight Rates

1. Book early in off-peak periods: January–March (post-Chinese New Year) typically has the lowest O/F of the year as demand collapses seasonally
2. Consolidate LCL shipments: If you're shipping LCL, consolidating multiple small orders into one monthly shipment reduces your per-CBM O/F by increasing volume leverage
3. Compare all-in vs base-only quotes: Always ask for the total freight cost including all surcharges — never compare just the O/F line
4. Consider rail for China–Europe: FRT via rail (China–Europe CRE) offers a transit time of 12–18 days at roughly 2–3× ocean cost — a viable middle ground for seasonal goods, electronics, or automotive parts
5. Lock in contracts when rates are low: Sign 6–12 month service contracts during soft markets to protect against mid-year GRIs or PSS spikes

Key Takeaways

• O/F is the ocean base rate per container — the largest single line on your freight invoice, typically 40–50% of total shipping cost
• A/F is the air freight base rate per kg — always billed on chargeable weight (higher of actual vs volumetric)
• FRT is a generic code for rail, road, or multimodal freight — common on China–Europe rail invoices
• Base rates are only part of the picture — surcharges and destination fees can add 50–100% on top
• Always compare all-in freight quotes, not just O/F or A/F headline numbers