Horizon Lines to Increase Hawaii Freight Rates

Click here to write a Letter to the Editor.

cean-shipping firm Horizon Lines late Tuesday said it would file a rate increase request with the U.S. Surface Transportation Board to raise ocean freight rates for the company's Hawaii service, effective Jan. 2, 2006.

The increases will vary depending on a variety of factors, including rate basis of the ocean freight and the direction and mode of transport, the company said in a statement.

Westbound rates for shipments originating on the U.S. mainland from either port terminals or inland points served by truck will increase by $125 per container. Rates for shipments originating on the U.S. mainland from inland points served by rail will increase by $385 per container, Horizon said.

Eastbound rates for shipments originating in Hawaii to either U.S. mainland port terminals or inland points served by truck will increase by $75 per container. Rates for shipments originating in Hawaii to inland points on the U.S. mainland served by rail will increase by $335 per container, the company said.

The rate increases are necessary to offset increased barge and inland expenses, contractual labor costs and increased capital spending to upgrade container fleet and terminal costs. Horizon said it recently took delivery of 1,000 new containers and 900 new refrigerated containers.

In addition, the company will increase its terminal handling charge by $60 per container for shipments to Hawaii and $30 per container for shipments from Hawaii, also effective Jan. 2.