Matson raises rates, THCs on Hawaii service
Matson Navigation Co. said Tuesday that it will raise rates on its Hawaii service by $120 per westbound container and $60 per eastbound container from Jan. 2, an increase of roughly 3.8 percent on current rates.
Matson will also raise its terminal handling fees by $175 per westbound container and $85 per eastbound container on the same date. The rate increase will be filed with the U.S. Surface Transportation Board, the line said.
'This rate increase will help offset rises in operating costs and support ongoing investments in our Hawaii service,' said Dave Hoppes, senior vice president of ocean services. 'While Matson recognizes this is a difficult time economically, this rate adjustment is consistent with our longstanding philosophy of implementing modest, incremental increases as necessary to maintain the highest level of service to our customers.”
Matson said that since 2003, it has invested more than $600 million in four new containerships, fleet enhancements, new container equipment, information technology and upgrades to its terminal facilities.
The terminal handling charge, first collected in 2003, “is designed to recover a portion of the costs associated with the movement of cargo through terminals. This charge is standard in the industry and appears as a separate line item at the bottom of the company's freight bills,” the Oakland, Calif.-based carrier said.
'Terminal handling costs comprise over 40 percent of Matson's operating costs,' Hoppes said. 'Matson continues to absorb most of the costs associated with terminal operations, the majority of which are driven by factors that are outside of our control, but needs to pass on some of the expenses to our customers.'
Matson raises rates, THCs on Hawaii service
