CY vs CFS in Shipping – Key Differences Explained

CY vs CFS in Shipping – What’s the Difference?

In the world of international shipping, terms like CY (Container Yard) and CFS (Container Freight Station) often come up in contracts, bills of lading, and freight negotiations. While they may sound similar, they represent different points of responsibility in the logistics chain. Understanding the difference is critical for shippers, freight forwarders, and consignees — as it impacts costs, risks, and liability.

What is CY (Container Yard)?

A Container Yard (CY) is a designated area within a port or terminal where full containers are received, stored, and delivered.

  • CY terms are mostly used in FCL (Full Container Load) shipments.
  • The shipping line’s responsibility begins once the sealed container is handed over at the origin CY and ends when the sealed container is released at the destination CY.
  • This is why many bills of lading are marked CY/CY — it makes clear that the carrier is responsible only for moving the sealed container from port to port.

Example: If an exporter in Mumbai delivers a sealed 40-ft container to Nhava Sheva port’s CY, the carrier is responsible for transporting that same sealed container to Dubai’s Jebel Ali port CY. The carrier is not responsible for what’s inside the box.

What is CFS (Container Freight Station)?

A Container Freight Station (CFS) is a warehouse facility, usually located near ports, where LCL (Less-than-Container Load) shipments are consolidated or deconsolidated.

  • Used when shippers don’t have enough cargo to fill a container.
  • Cargo from multiple shippers is grouped at the origin CFS, then stuffed into a shared container.
  • At the destination CFS, the container is unpacked, and cargo is distributed to individual consignees.
  • Bills of lading are often marked CFS/CFS to define that responsibility begins at the origin CFS and ends at the destination CFS.

Example: If an exporter sends 3 CBM of goods from Shenzhen to Hamburg under LCL terms, the cargo is delivered to the Shenzhen CFS, where it’s combined with other shipments. On arrival in Hamburg, it’s unpacked at the destination CFS and handed over to the consignee.

CY vs CFS: Key Differences

FeatureCY (Container Yard)CFS (Container Freight Station)
Shipment TypeMainly FCL (Full Container Load)Mainly LCL (Less-than-Container Load)
ResponsibilityFrom port CY to port CYFrom warehouse CFS to warehouse CFS
Bill of LadingCY/CYCFS/CFS
Cargo HandlingMinimal handling; sealed container remains intactMultiple handling during consolidation/deconsolidation
ControlShipping line controls containerFreight forwarder/consolidator controls cargo
Risk FactorLower (container not opened)Higher (more handling, customs risks)

Why Does CY vs CFS Matter?

Understanding whether your shipment is CY or CFS impacts:

  1. Liability – Who is responsible if cargo is damaged or delayed?
  2. Costs – CY shipments avoid consolidation charges, while CFS includes handling and storage fees.
  3. Transit Time – CY shipments are usually faster (direct container movement), while CFS may involve delays during cargo grouping or deconsolidation.
  4. Documentation – Bills of lading terms (CY/CY vs CFS/CFS) legally define obligations of the carrier and shipper.

Quick Rule of Thumb

  • CY (Container Yard) = Best for FCL shipments where you control the entire container.
  • CFS (Container Freight Station) = Best for LCL shipments where you share container space with others.

In short:
CY = Container to Container (carrier responsible for the whole box).
CFS = Cargo to Cargo (forwarder responsible for grouped cargo).

Final Takeaway

For businesses in international trade, the difference between CY and CFS can make or break supply chain efficiency. Choosing the right option depends on:

  • Your cargo volume (FCL vs LCL).
  • Your budget and timelines.
  • The reliability of your shipping partner.

At Kivaro Global, we guide businesses on the best shipping terms to minimize risk and optimize costs — whether it’s CY/CY FCL shipments or CFS/CFS LCL consolidations.