A Non-Vessel Operating Common Carrier (NVOCC) is an enterprise that does not own a vessel but provides maritime cargo transportation services. In China, the NVOCC license is valid for 5 years and is essential for companies involved in international shipping operations.
Three Categories of NVOCC
On-Carrier Type NVOCC
Acts as a carrier by booking space on ocean vessels and consolidating shipments from multiple shippers.
Carrier NVOCC
Issues its own bills of lading and takes full responsibility for the cargo transportation process.
Broker NVOCC
Acts as an intermediary between shippers and carriers, arranging transportation on behalf of clients.
An NVOCC typically handles the sales, stuffing, and transportation of containers to gateway ports. It operates under a house bill of lading, acting as a shipper to carriers and as a carrier to shippers. In some cases, an NVOCC may also operate as a freight forwarder.
Advantages of Registering an NVOCC in China
Application Process
Step 1: Amend the Business License
Update your company’s industry and business scope on the business license to include NVOCC-related items.
Step 2: NVOCC Registration
Submit filing materials online and cooperate with the approval process conducted by the Ministry of Transport.
Step 3: Security Deposit
A security deposit is no longer required for NVOCC registration in China.
Step 4: Freight Rate Registration
After NVOCC registration is complete, submit your freight rate record to the shipping exchange.
Documentation Requirements
Enterprise Information
Company name, unified social credit code, English name, legal representative, registered address, contact number, email, and fax number.
Contact Person Details
Full name, gender, ID number, and phone number of the designated contact person.
Platform Manager Information
Details of the appointed platform manager for the NVOCC operation.
Supporting Documents
Scanned copy of the business license, completed application form for freight rate registration, and the freight rate registration form.
Legal Framework
NVOCCs must register with the Ministry of Transport (MOT) if they issue Bills of Lading from China. Registration is required for all international maritime operations entering or leaving PRC ports. Currently, the PRC only enforces compliance for outbound shipments.
Role of the Chinese Liaison
A Chinese liaison communicates with the Ministry of Transport on behalf of the NVOCC. This person is responsible for receiving notices, accepting services, and following up on applications. If the NVOCC issues Bills of Lading, the liaison agent should be a registered Chinese NVOCC. The agent can also serve as the liaison.
