Bunker Adjustment Factor (BAF): What Shippers Need to Know
YQN Operation Team
Two ocean freight quotes may show the same base rate but different totals. One reason is the Bunker Adjustment Factor (BAF), a charge that reflects changes in marine fuel costs. Depending on the carrier, it may be listed separately or included under a different fuel surcharge name.
Before booking, check whether fuel surcharges are included and how long the quoted rate applies. This guide explains how BAF works, why it varies between carriers and what to check when comparing shipping costs.
Bunker Adjustment Factor at a Glance
| Question | Short Answer | |
|---|---|---|
| What is BAF? | A fuel adjustment applied to ocean freight | |
| Why does it change? | Marine fuel prices and route costs change | |
| Is it the same for every carrier? | No. Method, name and amount vary | |
| How is it charged? | Usually by trade lane, container size and equipment type | |
| How often is it reviewed? | Often quarterly, but carrier rules differ |
How Is the Bunker Adjustment Factor Calculated?
There is no single industry-wide BAF formula. Each carrier sets its own calculation method.
A typical calculation considers fuel prices, fuel consumption on a trade lane, sailing distance, equipment type and, in some cases, trade imbalances.
Maersk's published BAF methodology, for example, used a trade factor multiplied by the fuel price. Its trade factor reflects bunker consumption per loaded container and cargo-volume imbalances on a particular trade.
In 2026, Maersk uses its Fossil Fuel Fee (FFF) for new contracts over three months. Maersk states that FFF replaced BAF and its Low Sulphur Surcharge.
For Q4 2026, Maersk's reference averages were $752.19 per ton for VLSFO and $1,157.90 per ton for LSMGO, with the new tariffs effective October 1.
BAF, OBS, MFR and BRC: What Is the Difference?
The term Bunker Adjustment Factor does not appear on every carrier quotation.
| Carrier | Current Fuel Charge Name |
|---|---|
| Maersk | Fossil Fuel Fee (FFF) |
| ONE | ONE Bunker Surcharge (OBS) |
| Hapag-Lloyd | Marine Fuel Recovery (MFR) |
| MSC | Bunker Recovery Charge (BRC) |
| CMA CGM | BAF on selected services |
These are not identical tariffs. Each carrier uses its own scope and calculation.
They serve a similar commercial purpose, however: adjusting shipping charges to reflect marine fuel costs.
CMA CGM, for example, still explicitly uses the BAF name on some services. Its August 14 notice revised BAF for its Tunisia RoRo service from September 1, 2026.
Latest Bunker and Fuel Surcharge Updates
Several major carriers have announced fuel-related changes for September and October 2026.
| Carrier | Update | Effective |
|---|---|---|
| ONE | Revised OBS tariff | Oct. 1, 2026 |
| Hapag-Lloyd | Updated MFR | Oct. 1, 2026 |
| MSC | BRC included in new Americas rates | Oct. 1, 2026 |
| CMA CGM | Selected BAF revisions | Sep. 1, 2026 |
ONE announced on August 31 that its revised OBS will apply from October 1 through December 31, 2026. The carrier says the tariff is reviewed quarterly.
Hapag-Lloyd's new MFR values also take effect for sailings from October 1. The carrier says MFR applies to all trades and is shown separately on invoices and Bills of Lading.
For some trades, Hapag-Lloyd also considers updated sailing distances caused by Cape of Good Hope routings. This shows why bunker-related charges are affected by more than the fuel price alone.
MSC's August 31 announcement for North Europe and ScanBaltic to the USA, Canada and Mexico lists a BRC of $424 per 20-foot dry container and $848 per 40-foot dry or high-cube container from October 1.
What Does BAF Mean for Latin America Shipments?
The impact becomes more visible on long-haul routes.
For Q4 2026, Maersk's FFF from Far East Asia to West Coast South America and Central America is $467 for a 20-foot dry container and $933 for a 40-foot dry or high-cube container.
Reefer equipment carries a higher fuel component on the same trade: $702 per 20-foot reefer and $1,404 per 40-foot reefer.
This is why two quotations with similar base ocean freight can still produce different total shipping costs.
What Should You Check Before Booking?
Do not compare only the base ocean freight.
Check whether the current fuel adjustment is included and confirm its validity date. Also review PSS, terminal handling, canal, low-water and other destination or origin charges where applicable.
For longer contracts, ask how frequently the fuel factor is reviewed.
For spot cargo, confirm which BAF, OBS, MFR, BRC or FFF level applies to the planned sailing.
The useful comparison is the total freight cost for the same route, equipment and departure window.
Can BAF Change After You Receive a Quote?
Yes, depending on the quote terms and validity period.
Fuel surcharges usually have an effective date or adjustment mechanism. If the shipment moves outside the quoted period, a new fuel surcharge level may apply. Always confirm the latest rate before booking.
Check Current Ocean Freight Rates
For businesses moving containers from China, YQN Logistics offer free online sea rates calculator. You can compare current options online: https://www.yqn.com/searchfreight.
For questions about current freight rates, capacity or routing from China, Welcome to contact us at globalmarketing@yqn.com.
