MATSON TO RAISE FUEL SURCHARGE
Matson Navigation Co. Inc., said it will increase its fuel surcharge to 6 percent from 4.75 percent, effective Oct. 20 to offset sharply rising fuel prices.
'As a result of ongoing unrest in oil-producing countries, and in particular, with the possibility of U.S. involvement in a war against Iraq, fuel prices have continued to rise in recent months,' said Paul E. Stevens, executive vice president. 'This action is in no way related to the recent defensive shutdown of West Coast ports.'
Matson, which specializes in serving the U.S. Hawaii and Pacific Island trade, had cut its services until the International Longshore & Warehouse Union and Pacific Maritime Association agreed to work vessels serving the Hawaiian market.
Stevens said bunker fuel prices in 2002 have climbed from $17 per barrel to the current price of $30 per barrel. Matson said it experiences about a $1.6-million increase in annual operating costs for every dollar increase per barrel of bunker fuel.
