How to Calculate Revenue Ton (R/T) in Cargo Transportation

In the shipping industry, a revenue ton (R/T) is used to determine the cost of transporting cargo. It represents either the weight or the volume of the cargo, whichever is higher, and is used to calculate the transportation charges. The purpose of using the revenue ton is to standardize pricing, taking into account both weight and volume factors that may affect the transportation cost.

Key Definitions

• Revenue Ton (R/T): The unit used to calculate cargo transportation charges, which can be either based on weight (in metric tons) or volume (in cubic meters), depending on which is higher.
• 1 Revenue Ton: Equal to either 1 metric ton (1,000 kg) or 1 cubic meter (CBM) of cargo.

Three Steps to Calculate Revenue Ton (R/T)

1. Determine the Actual Weight of the Cargo

The actual weight is typically provided in kilograms (kg). To convert it into metric tons, divide the weight by 1,000.

Example:

• Weight: 1,200 kg
• Convert: 1,200 kg ÷ 1,000 = 1.2 metric tons

2. Calculate the Volume of the Cargo

To calculate the volume, multiply the length, width, and height of the cargo in meters. This will give you the volume in cubic meters (CBM).

Example:

• Length: 3.2 meters
• Width: 1.5 meters
• Height: 1.8 meters
• Volume: 3.2 × 1.5 × 1.8 = 8.64 CBM

3. Compare the Actual Weight and Volume

Now, compare the weight in tons with the volume in CBM. The higher value will be considered the revenue ton (R/T).

• Actual weight = 1.2 tons
• Volume = 8.64 CBM
• Higher value: 8.64 CBM > 1.2 tons

Thus, the revenue ton (R/T) for this shipment would be 8.64 CBM.

Example Breakdown

Let’s summarize the calculation for clarity:

• Weight: 1,200 kg = 1.2 tons
• Volume: Length × Width × Height = 3.2 × 1.5 × 1.8 = 8.64 CBM
• Revenue Ton (R/T): The higher value between 1.2 tons and 8.64 CBM is 8.64 CBM.

Therefore, for this shipment, the revenue ton will be 8.64 CBM.

Why is Revenue Ton Important?

Revenue ton helps determine the correct charges for cargo transportation. If cargo is light but bulky (high volume), it can still occupy a large portion of the container or space in a vehicle. Conversely, heavy cargo may not take up much space, but it could still require a substantial fee based on its weight. Using the revenue ton ensures fair pricing based on both weight and volume.

In summary, whichever measurement—weight or volume—produces the higher value will determine the revenue ton (R/T) for the shipment, helping to standardize the billing process for transport services.