What Is Harbor Maintenance Fee (HMF)?

The Harbor Maintenance Fee (HMF) is a U.S. Customs and Border Protection (CBP) fee charged on imports arriving at U.S. ports via ocean freight. It was established under the Water Resources Development Act of 1986 to help fund the maintenance and dredging of U.S. harbors and shipping channels.

Who Pays HMF?

• Importers bringing goods into the U.S. by ocean vessel.

• Exporters and domestic shippers used to be subject to HMF, but today imports are the primary category paying the fee.

• Not applied to air freight, trucking, or rail shipments—only sea freight.

How Is HMF Calculated?

• Rate: 0.125% (1/8 of 1%) of the cargo value.

• Example: If the customs value of imported goods is $100,000, the HMF is:

  100,000×0.00125=125 USD100,000 \times 0.00125 = 125\ \text{USD}100,000×0.00125=125 USD

• The fee is collected by CBP at the time of customs entry filing.

Key Notes on HMF

1. Applies to Imports Only – Export cargo is generally exempt.

2. Not Mode-Universal – Only ocean freight shipments into U.S. ports are subject to HMF.

3. Customs Entry Requirement – Must be declared and paid along with other duties and fees.

4. Non-Refundable – Even if goods are later re-exported, the HMF is not reimbursed.

Why HMF Matters for Importers

• Adds to Landed Cost – Even though the percentage is small, for high-value imports from China or other countries, the HMF can significantly impact total cost.

• Compliance Risk – Failing to declare HMF accurately can trigger fines or customs delays.

• Forecasting – Importers should always include HMF in landed cost calculations along with duties, tariffs, and MPF (Merchandise Processing Fee).

In summary: The Harbor Maintenance Fee (HMF) is a U.S. government charge of 0.125% of cargo value applied to all ocean freight imports at U.S. ports. It helps fund port infrastructure, and while small per shipment, it’s a cost that importers must include in their total shipping budgets.