Horizon to match Matson surcharge increase
Both Hawaii shippers will raise their surcharges for fuel to 21.25 percent from 18.5 percent in June
Horizon Lines Inc., matching its main competitor, is increasing its fuel surcharge 2.75 percentage points for shipping routes between the mainland, Hawaii and Guam.
The second-largest shipper in the islands sent a letter to customers on Friday notifying them that the rate would go up to 21.25 percent from 18.5 percent effective on June 5. It is Horizon's third fuel-surcharge increase this year.
Horizon, based in Charlotte, N.C., cited rising fuel costs for the increase. Matson Navigation Co., the largest shipper serving Hawaii, said earlier this month it was also raising its fuel surcharge 2.75 percentage points to 21.25 percent for Hawaii and Guam service. Matson's rate will go into effect on June 4.
"For the past year, Horizon Lines has been adjusting the fuel surcharge on a quarterly basis," Horizon said in its letter. "Fuel costs for running our vessels have increased significantly since the last quarterly fuel surcharge announcement was made."
Horizon's last fuel surcharge increase was April 3, when it raised its rate to 18.5 percent from 15 percent, following a similar increase by Matson.
"Fuel surcharges for inland providers, including rail providers and truckers, have returned to the low- to mid-20 percent ranges over the past few weeks," Horizon said. "Unfortunately, projections call for similar to higher fuel costs for the summer months."
Horizon said it would monitor fuel costs weekly and adjust the fuel surcharge downward as soon as lower fuel-cost trends warrant such an adjustment.
Pasha Hawaii Transport Lines, which operates a roll-on/roll-off service that ships vehicles between Southern California and Hawaii, earlier this month said it would double its surcharge to 18.5 percent from 9.2 percent, beginning next Monday, because of the effect that fuel prices have had on its operations.