Drayage is the short-distance transport of freight between a port, rail yard, or intermodal terminal and a nearby warehouse, distribution center, or another transportation hub. It is the critical first or last mile in intermodal shipping — the link that connects ocean containers and rail cars to the over-the-road trucking network.
Despite covering relatively short distances (typically under 50 miles), drayage is one of the most complex and time-sensitive segments of the supply chain. Port congestion, chassis availability, appointment scheduling, and regulatory requirements make drayage far more involved than a simple local delivery.
How Drayage Works
When an ocean container arrives at a port, it must be picked up from the terminal and transported to a warehouse where it can be unloaded (deconsolidated or devan) and the goods sorted for domestic distribution. This pickup and short-haul move is drayage. The same process works in reverse for exports: freight is consolidated into containers at a warehouse and drayed to the port for loading onto a vessel.
Rail drayage follows a similar pattern. When intermodal containers arrive at a rail ramp, a drayage carrier picks them up and delivers them to the consignee or a transload facility within the local area.
Types of Drayage
- Port drayage: Moving ocean containers between the port terminal and a local warehouse, container yard, or rail ramp. This is the most common type of drayage.
- Rail drayage: Transporting containers between an intermodal rail ramp and a local warehouse or distribution center.
- Inter-carrier drayage: Shuttling freight between two carriers — for example, from one rail ramp to another or from a port to a nearby rail terminal for onward movement.
- Shuttle drayage: Moving containers between different terminals within the same port complex or between a port and a nearby container yard for temporary storage.
- Door-to-door drayage: Delivering an ocean or intermodal container directly to the consignee's facility, where it is unloaded and the empty container returned.
Drayage Costs
Drayage rates vary significantly based on the port or ramp, distance, container size, weight, and local market conditions. As a general guide:
- Standard port drayage (20-foot container, under 25 miles): $300 to $600
- Standard port drayage (40-foot container, under 25 miles): $400 to $800
- Extended drayage (25 to 50 miles): Add $100 to $300
- Overweight containers: Additional $150 to $500 for permits and restrictions
Additional charges that commonly apply to drayage include demurrage and detention, chassis usage fees ($20-$75 per day), port congestion surcharges, pre-pull fees for moving containers out of the terminal before the actual delivery date, and fuel surcharges.
Chassis and Equipment
A chassis is the wheeled frame that an intermodal container sits on for road transport. Chassis availability is one of the biggest bottlenecks in drayage operations. There are three chassis models in the US market: carrier-owned chassis (the trucking company owns them), intermodal equipment provider (IEP) chassis leased from companies like TRAC Intermodal or Flexi-Van, and port or terminal pool chassis shared among all users at a facility.
When chassis are in short supply — common during peak shipping season — drayage operations slow down and costs increase. Some shippers invest in their own chassis pools to guarantee availability for their containers.
Drayage Challenges and Solutions
Port congestion is the single biggest challenge in drayage. When terminals are backed up, appointment slots are limited, and turn times (the time a truck spends inside the terminal) increase from 45 minutes to several hours. During the 2021-2022 port congestion crisis on the US West Coast, turn times at LA/Long Beach exceeded 8 hours at some terminals.
Solutions include scheduling pickups during off-peak hours (many terminals offer extended gate hours or weekend gates), using pre-pull services to move containers to an off-dock yard during available windows, and working with experienced drayage carriers who know the terminal operations and can navigate the system efficiently. A freight dispatch partner with drayage experience can coordinate these moves and ensure your containers clear the port before free time expires.
Major US Drayage Markets
The largest drayage markets correspond to the busiest ports and rail hubs: Los Angeles/Long Beach (the largest container port complex in the Western Hemisphere), New York/New Jersey (the East Coast's busiest port), Savannah (the fastest-growing port in the US), Houston and the Gulf Coast, Chicago (the nation's largest rail hub), and inland intermodal ramps in Dallas, Atlanta, Memphis, and Kansas City.
If your supply chain involves imported goods or intermodal rail, drayage is a cost and service factor you need to manage actively. Request a quote to discuss your drayage needs with our team.