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How to Calculate Revenue Ton?

2023-11-03
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Compare the actual weight (in tons) and volume (in CBM), and the higher value will be considered the revenue ton.

A revenue ton (R/T) is a unit measure used in cargo transportation. It represents the weight or volume of cargo that is used to calculate the charges or fees for transportation services.

There are three steps to calculate revenue ton:
1. Determine the actual weight of the cargo in metric tons.
2. Calculate the volume of the cargo and convert it into cubic meters.
3. Compare the actual weight and the volume, and the higher value will be the revenue ton.

1 revenue ton = 1 cubic meter or 1 metric ton (1,000 kg)

In shipping industry, cargo is rated as Weight or Measure (W/M). Weights are based on metric tons, while Measures are based on cubic meters (CBM).
Whichever method produces the higher revenue, between the weight calculation or the measurement calculation, will be considered the revenue ton. This metric helps standardize the pricing and billing process for cargo transportation, taking into account both weight and volume factors.

An example of calculating revenue ton:
Assume that your shipment weighs 1,200 kg, and the dimensions are:
Length: 3.2 meters
Width: 1.5 meters
Height: 1.8 meters

Weight in Tons: 1,200 kg = 1.2 tons
Volume in CBM: 3.2 × 1.5 × 1.8 = 8.64 CBM
Comparison: 8.64 > 1.2
So the revenue ton (R/T) for this shipment would be 8.64.

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