Horizon matches Matson fuel surcharge
Horizon Lines Inc. will raise its fuel surcharge to 29 percent next month for Hawaii and Guam, rescinding a previously announced lower rate hike. The move matches rival Matson Navigation Co.
The state's second-largest ocean shipper had previously said it would increase its current 24 percent fuel surcharge to 26 percent on Dec. 2. Instead it has decided to raise the surcharge by 5 percentage points on Dec. 17, following Matson's announcement last week to boost rates to a record 29 percent.
"Unfortunately in this situation we are at the mercy of the fuel market," said Kuuhaku Park, Horizon's government & public affairs manager.
Horizon's fifth consecutive increase this year is necessary to offset an unprecedented spike in the price of bunker fuel, which in the last month has risen more than 25 percent, the company said.
Meanwhile, Pasha Hawaii, Hawaii's third-largest ocean shipper, is monitoring the volatile situation and expects to make a decision on its fuel surcharge in the near future, said general manager Reggie Maldonado.