Repair Tariff
Repair Tariff, also known as Maintenance and Repair Tariff (M&R Tariff), is a key standardized document in container logistics. It is a detailed catalogue of repair operations, where for each type of damage to a shipping container a precisely defined repair methodology and a fixed rate (usually in labour hours and material costs) is specified.
This system is essential for container depot operators, repair workshops, leasing companies, charterers and the owners of containers. It ensures transparency, predictability and fairness of repair costs, which is absolutely necessary in global operations with millions of containers. Without this standardized approach, managing a container fleet would be inefficient, costly and full of disputes.
Why a standardized repair tariff is necessary?
Challenges in global container management
Every day more than 30 million shipping containers move around the world. These containers are exposed to harsh conditions:
- Handling with heavy equipment in ports (forklifts, portal cranes)
- Extreme weather at sea (salt water, wind, rain, frost)
- Repeated loading and unloading
- Long storage in depots
- Transport of diverse cargo including chemicals or heavy machinery
Damage to a container is therefore a common occurrence. The standardized repair tariff addresses several key issues:
Transparency and fairness
- Clear prices: Each repair has a clearly defined price, the container owner knows in advance how much they will pay.
- Prevention of overpricing: Fixed prices prevent inadequate or inflated invoices.
- Easier dealings with insurers: Clearly defined rates facilitate insurance claim handling.
Efficiency and speed
- Uniform defect coding: Each damage has its own code, enabling quick assessment and pricing.
- Faster approval process: Eliminates lengthy individual valuation and negotiation.
- Short downtime: Efficient process shortens the time the container is out of service.
Consistency and quality
- International standards: Repairs follow recognized norms (especially IICL).
- Safety and long lifespan: Quality repairs guarantee safe operation and longer life.
Dispute prevention and legal certainty
- Elimination of disagreements: Clear definitions prevent conflicts between depot, owner and insurer.
- Photo documentation and electronic protocols: Modern systems allow storing evidence and sharing among all parties.
Structure and key components of the repair tariff
The tariff divides the container into individual parts and for each sets possible damage types, repair methods and their pricing. In practice the document is very detailed and includes:
Construction parts of the container and typical defects
| Container Part | Typical Damage | Possible Repairs (per tariff) |
|---|---|---|
| Understructure | Deformation, fractures, corrosion, punctures | Straightening, welding, insertion of section, replacement |
| Frame | Bending, crack, fracture, corrosion | Straightening, insertion of part, complete replacement |
| Panels (walls, roof, front) | Dents, cracks, holes, corrosion | Straightening, patching, welding, panel replacement |
| Container Floor | Cracks, holes, contamination, mould | Local repair, part/floor replacement, cleaning |
| Door Assembly | Seal damage, hinges, handles, locks | Seal replacement, straightening, hinge/rod replacement |
| Markings and Paints | Damaged colours, illegible labels | Local/comprehensive repaint, label replacement |
Specific examples of repairs and their pricing (according to global tariffs)
- Repair of minor panel dents: from 10–20 USD (depending on area and region)
- Replacement of door seal: 45–90 USD for a complete set
- Replacement of longitudinal section: 150–300 USD
- Complete floor replacement (20‑ft container): 350–700 USD (depending on plywood price and labour)
- Replacement of corner element: 100–200 USD (for safety reasons welding is prohibited, always replacement)
Example of inspection checklist
Preparation
- Check documentation (ISO number, inspector, time, date)
- Verify the container is empty
External inspection
- Doors: hinges, seals, handles, locks
- Sides: upper/lower rails, corner posts, fork pockets
- Front: numbers, panel, corner elements
- Roof: panels, rails, labels
- Bottom: beams, rails, pockets
Internal inspection
- Floor: condition, fasteners, light leaks
- Walls: lining, cracks, leaks
- Roof: panels, light leaks
- Front: lining, bearing surfaces
Result
- Inspector records all defects (small/large)
- 5 minor defects = repair required
- Larger defect = immediate repair
Process of applying the tariff in practice
- Incoming container inspection (Gate‑in)
- Upon delivery to the depot a thorough check is performed
- All damages are recorded and photographed
- Creation of repair estimate
- Each damage assigned a specific repair code
- Estimate includes: labour time, material, total price
- Owner approval
- Estimate sent to the container owner (leasing company, charterer)
- Standardisation significantly speeds up the process
- Repair execution
- Technicians carry out repairs according to the approved list
- Always in compliance with standards (e.g., IICL)
- Invoicing
- After repair an invoice is issued that matches the approved estimate
International standards for container repairs
Proper application of the repair tariff is based on respecting several key global standards:
| Standard / Organisation | Description and significance |
|---|---|
| IICL (Institute of International Container Lessors) | The most recognised repair standard. Guarantees high quality, detailed methodologies for all container parts. |
| UCIRC (Unified Container Inspection & Repair Criteria) | Sets limits for acceptable and unacceptable damage, defines the minimum required repair scope. |
| CIC (Common Interchange Criteria) | Helps distinguish between normal wear and damage that must be repaired. |
| ACEP (Approved Continuous Examination Program) | Regular independent inspections and maintenance; information is shown on the CSC plate. |
| CSC (Container Safety Convention) | Every container must have a valid CSC plate confirming its safety for operation. |
Most common types of damage and repair methods
| Damage Type | Repair per tariff | Recommended procedure (per IICL) |
|---|---|---|
| Corrosion and rust | Removal of rust, sandblasting, painting | Sandblasting / welding of new sheet |
| Damaged floor | Cut‑out and replace part, or replace whole floor | Only certified plywood |
| Door leakage | Replacement of seal | Original rubber seal, water test |
| Panel dent | Straightening, patch | Welding/patch depending on extent |
| Panel opening | Patch, welding | Patch with paint |
| Damaged reinforcement | Insert new part, welding | According to structural significance |
Insurance and liability for damage
- Container insurance: Covers repair costs in case of accidents, vandalism or natural disasters. For insurers the Repair Tariff is a crucial basis for calculating claim payouts.
- Liability for damage: Normal wear and tear is the owner’s cost; damage is paid by the user (lessee, carrier).
- Practical example: Repair of 5 containers with minor dents and cracks may cost about 350 USD (full payment by the user without insurance).
Factors affecting repair prices
- Geographic location: Labour and material costs vary greatly region to region (Asia vs. Europe vs. USA).
- Material prices: Steel, plywood, paints and seals directly affect the tariff.
- Economic influences: Import duties, logistics crises and currency fluctuations can cause temporary price increases.
- Current trends (2025): Expected steel price updates and finished parts in October 2025 (e.g., USA, Europe) may raise repair costs in the coming months.
Most common disputes and their resolution
- Difference in damage assessment: Decided according to the applicable standard (IICL, CIC, UCIRC), often with a third party (independent inspector).
- Discrepancies in repair costs: Reference the valid Repair Tariff, possibly arbitration.
- Repair quality: Requirement for repeat inspection, use of photo documentation and electronic protocols.
Summary
Repair Tariff – the repair tariff is a key pillar of global container logistics and maintenance. It enables efficient, transparent and fair management of the container fleet on a massive scale. It ensures not only a quick solution to repairs, but also legal certainty, security and prevention of disputes. A high-quality and up-to-date repair tariff is an essential tool for every owner or user of a shipping container.
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