- Associated Press - Friday, February 6, 2015

HONOLULU (AP) - Hawaii’s largest ocean cargo transportation firm is reducing its fuel surcharge in response to falling bunker fuel prices.

Matson Inc. announced Thursday that it is cutting the charge by 7 percentage points, effective Sunday. The company will continue to monitor fuel costs and adjust the surcharge accordingly, said Dave Hoppes, Matson’s senior vice president for ocean services.

“We continue to be encouraged by the recent moderation in bunker fuel prices, and remain focused on diligently exploring ways in which we can maximize fuel efficiency for our fleet,” Hoppes said in a statement.

The reduction means the surcharge will be 24.5 percent, a drop from 31.5 percent, the Honolulu Star-Advertiser (https://is.gd/9YJfLQ) reported.

The pending cut by Honolulu-based Matson is the single largest decrease since the company instituted the surcharge in 1999, although the surcharge was lower - 21.75 percent - in 2010.

With the latest reduction, most customers should save between $140 and $245 per container, Matson officials said.

The surcharge reductions are offset somewhat by a general rate increase of 5.4 percent that was implemented Jan. 4. The results of that increase were an additional $225 for westbound container shippings and $110 for eastbound containers.

Fuel-surcharge changes have no effect on the cost of shipping personal automobiles because that type of cargo is priced differently for competitive reasons.

Typically, company competitors Pasha Hawaii Transport Lines and Horizon Lines Inc. adjust their fuel surcharges following changes by Matson.

Matson also is cutting its fuel surcharge from 32 percent to 25 percent for its service in Guam and Commonwealth of the Northern Mariana Islands. For its Micronesia service, the surcharge is being cut from 37 percent to 30 percent.


Information from: Honolulu Star-Advertiser, https://www.staradvertiser.com

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