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Matson to raise freight rates, terminal handling charges in 2014

MATSON, leading US carrier in the Pacific, has announced it will raise freight rates on its Guam/Commonwealth of the Northern Marianas Islands (CNMI), Palau, Marshall Islands and Micronesia services effective January 26. 

Matson to raise freight rates, terminal handling charges in 2014
28 November 2013 - 22:36

Matson to raise freight rates, terminal handling charges in 2014

MATSON, leading US carrier in the Pacific, has announced it will raise freight rates on its Guam/Commonwealth of the Northern Marianas Islands (CNMI), Palau, Marshall Islands and Micronesia services effective January 26. 

The proposed increase of US$275 for both westbound and eastbound containers will be filed with the Surface Transportation Board and the Federal Maritime Commission. 

"This is Matson's first rate increase for Guam/CNMI and Micronesia in three years," said senior vice president, ocean services, Dave Hoppes. "During that time, our operating costs have continued to rise, necessitating this adjustment. The increase will also support on-going investments in our service to the region." 

In addition, the company will raise its US west coast terminal handling charge by $75 for both westbound and eastbound containers from the same date. 

"Terminal handling costs comprise over 40 per cent of Matson's operating costs," said Mr Hoppes. "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."

Earlier this month, the company announced that it is investing $418 million in two new 3,600-TEU containerships that will be deployed in its Hawaii service and will transport Guam cargo from the US west coast to Honolulu.

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