Horizon adds inland express to EB transpacific
Horizon Lines said Monday it will launch express intermodal container service to key inland U.S. cities when it begins its eastbound transpacific liner service in December.
The maiden departure of Horizon's Five Star Express service is set for Dec. 14 from Ningbo. The line said roughly 60 percent of the initial voyage is booked — it is aiming for 75 percent bookings for the first sailing.
The service is based on an existing rotation in which Horizon operates the eastbound transpacific leg on behalf of Maersk Line. That agreement expires Dec. 10, at which point Horizon Lines will begin transporting general cargo from Ningbo and Shanghai on behalf of direct commercial customers. Sales and marketing efforts for the service have been formally underway since March.
'In addition to offering customers a transpacific import alternative, the new Five Star Express service will allow Horizon Lines to better accommodate an expanding military presence in Guam, where trade is expected to grow significantly in coming years,' Horizon said in a statement.
Horizon is selling its transpacific service on quicker transit times and connections with its domestic logistics network.
'As other carriers reduce service locations and slow service speeds, U.S. shippers continue to tell us they want fast and reliable service alternatives not only port-to-port, but inland to final destinations as well,' Brian Taylor, Horizon Lines senior vice president of international services, said Monday in Shanghai. 'At a time when U.S. retailers are maintaining lower inventory levels and placing more logistics responsibilities on their manufacturing partners here in China, our Five Star Express service offers a fast and reliable transit schedule to keep supply chains running smoothly.
'We do not operate in a one-size-fits-all supply chain,' Taylor added. 'Our niche focus to provide reliable scheduling, fast transits and quality customer service offers a compelling alternative in the market at the right time.'
Horizon Lines plans to offer 15-day availability in Kansas City from Shanghai and 16-day availability in Dallas, using scheduled intermodal rail service from Los Angeles every week. The carrier also will offer express inland service to Chicago, Memphis, Atlanta and Charlotte using on-dock rail connections to avoid drayage fees on the West Coast. The carrier said it plans to expand the inland express network to other locations throughout the United States next year.
'Horizon Lines is able to offer a cost-effective inland service because of operational synergies with the carrier's domestic U.S. shipping network serving export customers to Puerto Rico, Alaska, Hawaii and Guam,' the carrier said. 'Delivering imports inland to these markets will provide a more stable supply of containers in locations where many shippers struggle to find available container capacity. Horizon Lines maintains strong relationships and direct electronic data interchange integration with the nation's railroad operators, facilitating the delivery of quality service.
