By Mark Edward Nero
On April 4, Matson Inc. announced that its US Pacific carrier subsidiary Matson Navigation Co. will use SSA Terminals (SSAT) for stevedoring and terminal services at the Port of Tacoma when its existing agreement with APM Terminals expires on December 31.
“APMT has served us well. It just makes more sense to work with our strategic partner at Tacoma as we do at all of our other terminals on the West Coast,” Ron Forest, senior vice president of operations for Matson explained in a statement.
Tacoma is the only Matson terminal on the US West Coast not currently handled by SSAT.
The terminal, with 12 employees, became part of the Maersk Group portfolio in 2000 with Maersk Line’s acquisition of US-based Sea-Land Service. The facility, with an annual throughput capacity of 600,000 TEU, was used primarily by the Matson Alaska Service, with twice-weekly sailings between Tacoma, Anchorage and Kodiak, and a weekly service between Tacoma and Dutch Harbor, handling about 190,000 TEUs in 2016.
“We expect a seamless transition and no change in our Tacoma operations from a customer standpoint,” Forest said.
In a statement, APM Terminals said it is “evaluating all options” regarding the terminal lease with Matson that expires at the end of the year.
Showing posts with label Matson Navigation. Show all posts
Showing posts with label Matson Navigation. Show all posts
Friday, April 7, 2017
Tuesday, August 30, 2016
NASSCO Building Container Ships for Matson
By Mark Edward Nero
San Diego-based General Dynamics NASSCO said Aug. 25 that it has signed a contract with Matson Navigation Co. to design and build two Kanaloa Class liquefied natural gas-capable containerships with roll-on/roll-off capability.
The 870-foot-long, 3,500-TEU containerships are designed with the ability to transport containers, automobiles and rolling stock, including trailers. The design also incorporates LNG-capable main and auxiliary engines, which are compliant with Tier III emission requirements.
“Our partnership with Matson builds upon NASSCO’s successful track record of constructing high-quality, highly efficient and on-time delivery for the Jones Act trade,” General Dynamics NASSCO and Bath Iron Works President Fred Harris said in a statement.
The Jones Act-qualified ships are to be built at the NASSCO shipyard in San Diego. Construction of the first containership is slated to begin in early 2018, with deliveries set for 2019 and mid-2020, respectively.
“We are pleased to be working with NASSCO again on new vessels for Matson. NASSCO’s deep history and reputation for quality give us confidence that these new ships will be the most advanced efficient and productive vessels in our fleet,” Matson President and CEO Matt Cox said. “Our last NASSCO vessel, RJ Pfeiffer, has been a mainstay of our Hawaii service and we look forward to adding the superior performance of these new Kanaloa Class vessels to the fleet.”
Once delivered, both ships are expected to serve a trade route between the continental West Coast and Hawaii.
Over the past decade, NASSCO has delivered 28 ocean-going ships to government and commercial customers, including the world’s first LNG-powered containerships. The company partners with Daewoo Ship Engineering Co. to provide ship design and shipbuilding technologies for customers.
San Diego-based General Dynamics NASSCO said Aug. 25 that it has signed a contract with Matson Navigation Co. to design and build two Kanaloa Class liquefied natural gas-capable containerships with roll-on/roll-off capability.
The 870-foot-long, 3,500-TEU containerships are designed with the ability to transport containers, automobiles and rolling stock, including trailers. The design also incorporates LNG-capable main and auxiliary engines, which are compliant with Tier III emission requirements.
“Our partnership with Matson builds upon NASSCO’s successful track record of constructing high-quality, highly efficient and on-time delivery for the Jones Act trade,” General Dynamics NASSCO and Bath Iron Works President Fred Harris said in a statement.
The Jones Act-qualified ships are to be built at the NASSCO shipyard in San Diego. Construction of the first containership is slated to begin in early 2018, with deliveries set for 2019 and mid-2020, respectively.
“We are pleased to be working with NASSCO again on new vessels for Matson. NASSCO’s deep history and reputation for quality give us confidence that these new ships will be the most advanced efficient and productive vessels in our fleet,” Matson President and CEO Matt Cox said. “Our last NASSCO vessel, RJ Pfeiffer, has been a mainstay of our Hawaii service and we look forward to adding the superior performance of these new Kanaloa Class vessels to the fleet.”
Once delivered, both ships are expected to serve a trade route between the continental West Coast and Hawaii.
Over the past decade, NASSCO has delivered 28 ocean-going ships to government and commercial customers, including the world’s first LNG-powered containerships. The company partners with Daewoo Ship Engineering Co. to provide ship design and shipbuilding technologies for customers.
Tuesday, February 2, 2016
Matson, TOTE, Crowley Win Defense Contracts
By Mark Edward Nero
Oakland-based Matson Navigation and Concord, Calif.-headquartered Patriot Contract Services were among seven U.S. maritime firms that have won contracts to manage, maintain and operate 48 National Defense Reserve Fleet (NDRF) vessels through January 2024, US Transportation Secretary Anthony Foxx announced Jan. 22.
“The US Merchant Marine and National Defense Reserve Fleet play a crucial role in our nation’s security,” Maritime Administrator Chip Jaenichen said in a prepared statement. “These contract awards will allow our commercial maritime companies to continue providing top-notch support to our troops who are stationed or deployed around the world.”
In total, the Dept. of Transportation has awarded contracts with a total award value of $1.96 billion over eight years to the seven US maritime firms, with the Maritime Administration contracts being funded by the Department of Defense (DoD) National Defense Sealift Fund to support DoD’s strategic sealift mission.
Patriot Contract Services received a $227 million contract to bear responsibility for seven vessels, while Matson won a $174.6 million deal to maintain three vessels. Other contract awardees include Crowley Technical Management of Jacksonville, Fla., which will received $149.7 million to maintain four vessels; and TOTE Services, also of Jacksonville, which won a $461.1 million contract for the care of nine vessels.
Pennsylvania-based Keystone Shipping Services (11 vessels, $411.6 million); Ocean Duchess Inc. of Houston (eight vessels, $342.2 million); and Pacific-Gulf Marine Corp. of Louisiana (six vessels, $194.2 million) were the other awardees.
Award amounts include firm-fixed fees for the four-year base contract and two 2-year options, without future economic price adjustment, plus estimated reimbursable costs for eight years.
The 18 contracts awarded total $953.5 million for the four-year base contract, which runs through January 2020. The two 2-year options bring the total award value to $1.96 billion.
Forty-six of the vessels are part of the Department of Transportation’s Ready Reserve Force, a fleet managed by the Maritime Administration that provides rapid mass movement of Department of Defense equipment and supplies to support our Armed Forces, and also responds to national and humanitarian emergencies. The other two vessels are used to support Missile Defense Agency operations.
Each certified, mission-ready vessel is maintained so that it can be fully activated and deployed quickly. The 46 Ready Reserve Force vessels have been activated hundreds of times since 2002, according to MARAD.
More information on the ships is available at www.marad.dot.gov.
Friday, October 24, 2014
Female Capt. Wins Discrimination Lawsuit
By Mark Edward Nero
Former Matson Navigation captain Katherine Sweeney has won a
lawsuit in which she alleged she was discriminated against by the Washington
state Board of Pilotage Commissioners because she’s a woman.
Sweeney, who helmed Matson containerships for seven years,
had been aiming to become Puget Sound’s first female maritime pilot, but she
said she was held back by a “good ol’ boys’ network” and widespread nepotism.
Sweeney was admitted to pilot training in 2007 as the
state’s first-ever female pilot trainee and entered into a program that was run
at the time by an all-male training evaluation committee and included trainees
who were related to their instructors.
Despite performing as well as her male counterparts, Sweeney
said, she was denied a license. This led her to sue the state Board of Pilotage
Commissioners, which had voted against issuing her a pilot’s license.
In mid-October, a jury agreed with her claims and awarded
her $3.6 million. However, she has said she has no intention of again trying to
gain a pilot’s license and now works as an industry safety consultant.
“Hopefully, as a result of this lawsuit, this door will
change and it'll open for the next woman, but I think it's pretty much shut for
me,” she said in an interview with Seattle TV station KING, which first reported the outcome of the lawsuit.
The nine-member Board of Pilotage Commissioners, whose
members are appointed by the Governor, said it has not decided if it will
appeal the verdict.
Tuesday, August 9, 2011
Matson to Suspend CLX2 China Service
Ocean carrier Matson Navigation announced Monday that in August it will discontinue the expanded China–Long Beach Express service (CLX2) started last August, citing sustained high fuel prices, downward rate pressure and overcapacity in the transpacific trade.
Matson said that discontinuing the CLX2 service, which includes service to and from Hong Kong, Yantian, Shanghai and Long Beach, will have no impact on Matson’s original China–Long Beach Express service (CLX1), which will continue to operate. The CLX1 service was launched in 2006 and provides expedited service from Xiamen, Ningbo and Shanghai to Long Beach. The discontinuing of the CLX2 service will also not affect the carrier's Hawaii or Guam services.
According to Matson, a wholly owned subsidiary of Honolulu-based Alexander & Baldwin, Inc., the "cost model for the two services is considerably different, with the CLX1 service benefiting from round trip economics, generating revenue for both westbound and eastbound voyages."
The CLX2 service provided direct service from Long Beach to China, Matson said, resulting in a cost model entirely dependent on the market conditions of the transpacific trade, which is currently challenging for most carriers as a result of chronic high fuel costs and aggressive rate actions in the trade.
“Matson’s expanded service that was launched last year succeeded in achieving our service goals and building on our customer base,” Matson President Matt Cox said.
“Unfortunately, the economics of the transpacific trade have shifted dramatically in the relatively short time since we developed the model. Sustained high fuel prices, rate volatility and overcapacity in the Asia market have made this growth initiative unprofitable. Unlike Matson’s first China–Long Beach Express, which includes calls in Hawaii and Guam en route to China, resulting in revenue for both westbound and eastbound voyages, the second string sailed directly from Long Beach to China, making the economics of the service during this period exceptionally difficult."
Cox reiterated that since its inception, Matson’s original CLX1 service has weathered comparable negative operating environments in the transpacific trade.
"We are confident in the long term viability of that service and remain committed to delivering a premium service for our customers, distinguished by fast transit times, industry leading on time arrivals and next day cargo availability," Cox said.
The last eastbound sailing on the CLX2 service will depart Shanghai on August 21. Westbound service from Long Beach to China will continue until September 3.
“Matson appreciates the support our customers gave to this expansion of our China service,” Cox added. “The decision to discontinue the service was difficult but necessary, and was due entirely to the financial component of the expansion.”
Matson said that discontinuing the CLX2 service, which includes service to and from Hong Kong, Yantian, Shanghai and Long Beach, will have no impact on Matson’s original China–Long Beach Express service (CLX1), which will continue to operate. The CLX1 service was launched in 2006 and provides expedited service from Xiamen, Ningbo and Shanghai to Long Beach. The discontinuing of the CLX2 service will also not affect the carrier's Hawaii or Guam services.
According to Matson, a wholly owned subsidiary of Honolulu-based Alexander & Baldwin, Inc., the "cost model for the two services is considerably different, with the CLX1 service benefiting from round trip economics, generating revenue for both westbound and eastbound voyages."
The CLX2 service provided direct service from Long Beach to China, Matson said, resulting in a cost model entirely dependent on the market conditions of the transpacific trade, which is currently challenging for most carriers as a result of chronic high fuel costs and aggressive rate actions in the trade.
“Matson’s expanded service that was launched last year succeeded in achieving our service goals and building on our customer base,” Matson President Matt Cox said.
“Unfortunately, the economics of the transpacific trade have shifted dramatically in the relatively short time since we developed the model. Sustained high fuel prices, rate volatility and overcapacity in the Asia market have made this growth initiative unprofitable. Unlike Matson’s first China–Long Beach Express, which includes calls in Hawaii and Guam en route to China, resulting in revenue for both westbound and eastbound voyages, the second string sailed directly from Long Beach to China, making the economics of the service during this period exceptionally difficult."
Cox reiterated that since its inception, Matson’s original CLX1 service has weathered comparable negative operating environments in the transpacific trade.
"We are confident in the long term viability of that service and remain committed to delivering a premium service for our customers, distinguished by fast transit times, industry leading on time arrivals and next day cargo availability," Cox said.
The last eastbound sailing on the CLX2 service will depart Shanghai on August 21. Westbound service from Long Beach to China will continue until September 3.
“Matson appreciates the support our customers gave to this expansion of our China service,” Cox added. “The decision to discontinue the service was difficult but necessary, and was due entirely to the financial component of the expansion.”
Tuesday, July 26, 2011
Matson Rebrands Three Logistics Units Under "Matson Logistics" Brand
Ocean carrier Matson Navigation is rebranding its three logistics units – Matson America, Matson Global, and Matson Integrated Logistics – under the new name, Matson Logistics.
According to Matson, combining the suite of services offered by the three entities into one brand will "better define the full range of services the Matson name represents outside of ocean transportation, including domestic and international rail intermodal service, long haul and regional highway brokerage, supply chain services, LTL transportation, specialized hauling, and company-operated warehousing and distribution."
All of the services offered will be marketed using a newly created Matson Logistics logo.
“As a company with over a century of service in the Pacific, the Matson brand is well established in the maritime industry and strongly associated with experience, commitment, innovation, efficiency and superior service,” said Matt Cox, president.
Cox said that as the firm has continued to grow and strengthen the Matson brand, it has become important to differentiate Matson as both a leading ocean carrier and as a logistics provider.
"In the past decade, Matson’s logistics services have become increasingly diversified, encompassing warehousing and distribution and moving beyond North American markets to include China," Cox said.
"To clarify and strengthen our position in the logistics industry, we will now promote our services using one brand name, Matson Logistics.”
As part of the rebranding effort, Matson has changed the legal names of the three entities to better reflect the firm's more unified approach to providing logistics services.
Matson Integrated Logistics, Inc. is now “Matson Logistics, Inc.”; Matson America Transportation Services, LLC is now “Matson Logistics Services, LLC”; and Matson Global Distribution Services, Inc. is now “Matson Logistics Warehousing, Inc.”
According to Matson, the new names are only legal name changes and do not require any updates or revisions to licenses, codes, customer contracts, insurance coverage, legal rights and obligations, or other documentation.
"We believe the rebranding of our logistics services will help further define Matson as a unique and multi-faceted provider in today’s growing supply chain services markets," Cox said.
Matson Logistics is a subsidiary of Matson, itself a wholly owned subsidiary of Honolulu-based Alexander & Baldwin, Inc.
According to Matson, combining the suite of services offered by the three entities into one brand will "better define the full range of services the Matson name represents outside of ocean transportation, including domestic and international rail intermodal service, long haul and regional highway brokerage, supply chain services, LTL transportation, specialized hauling, and company-operated warehousing and distribution."
All of the services offered will be marketed using a newly created Matson Logistics logo.
“As a company with over a century of service in the Pacific, the Matson brand is well established in the maritime industry and strongly associated with experience, commitment, innovation, efficiency and superior service,” said Matt Cox, president.
Cox said that as the firm has continued to grow and strengthen the Matson brand, it has become important to differentiate Matson as both a leading ocean carrier and as a logistics provider.
"In the past decade, Matson’s logistics services have become increasingly diversified, encompassing warehousing and distribution and moving beyond North American markets to include China," Cox said.
"To clarify and strengthen our position in the logistics industry, we will now promote our services using one brand name, Matson Logistics.”
As part of the rebranding effort, Matson has changed the legal names of the three entities to better reflect the firm's more unified approach to providing logistics services.
Matson Integrated Logistics, Inc. is now “Matson Logistics, Inc.”; Matson America Transportation Services, LLC is now “Matson Logistics Services, LLC”; and Matson Global Distribution Services, Inc. is now “Matson Logistics Warehousing, Inc.”
According to Matson, the new names are only legal name changes and do not require any updates or revisions to licenses, codes, customer contracts, insurance coverage, legal rights and obligations, or other documentation.
"We believe the rebranding of our logistics services will help further define Matson as a unique and multi-faceted provider in today’s growing supply chain services markets," Cox said.
Matson Logistics is a subsidiary of Matson, itself a wholly owned subsidiary of Honolulu-based Alexander & Baldwin, Inc.
Tuesday, November 30, 2010
Matson to Hike Container Rates and Fees to Hawaii
Jones Act-carrier Matson Navigation said last week it will raise its basic shipping rates and terminal handling charges on containers to and from Hawaii by an average total of 10 percent per container starting Jan. 2. The Oakland-based carrier, the largest serving the island state, cited the need to offset higher operating costs and the need to support investments.
The base rate for containers will rise an average of 3.8 percent per container, or $120 per westbound box and $60 per eastbound box.
Terminal handling charges will climb an average 20.6 percent per box, an increase of $175 per westbound box and $85 per eastbound box.
Both the base rate and terminal handling charges are separate from Matson's 21.75 percent per box fuel surcharge.
The combined base rate and terminal handling increases total nearly a 10 percent price increase for an average Hawaii-bound container--a price currently running about $3,000 per box.
While Matson's Hawaii-based parent-firm Alexander & Baldwin saw a surge in third-quarter profits, the increase was due mainly to Matson's burgeoning West Coast-China service. Matson's Hawaii services, automobile and container, both posted down volumes in the third quarter.
The base rate for containers will rise an average of 3.8 percent per container, or $120 per westbound box and $60 per eastbound box.
Terminal handling charges will climb an average 20.6 percent per box, an increase of $175 per westbound box and $85 per eastbound box.
Both the base rate and terminal handling charges are separate from Matson's 21.75 percent per box fuel surcharge.
The combined base rate and terminal handling increases total nearly a 10 percent price increase for an average Hawaii-bound container--a price currently running about $3,000 per box.
While Matson's Hawaii-based parent-firm Alexander & Baldwin saw a surge in third-quarter profits, the increase was due mainly to Matson's burgeoning West Coast-China service. Matson's Hawaii services, automobile and container, both posted down volumes in the third quarter.
Thursday, November 4, 2010
Matson Profits Surge on China Success
Ocean carrier Matson Navigation reported a 67 percent upswing in third quarter operating profit, citing "higher yields and improved cargo mix" in an earning statement released this week.
The Oakland, Calif.-based carrier reported operating profits of $40.4 million on $267.5 million in revenue for the third quarter. While the carrier's domestic cargo volumes were down or flat across the board, a 14 percent increase in revenue on the carrier's China routes buoyed the firm's earnings.
Hawaii container volume was down 2 percent in the third quarter, Hawaii automobile volume dipped 10 percent and Guam container volume remained flat compared to the third quarter in 2009.
According to the carrier, growth was “principally due to a $24.8 million increase resulting from higher yields and improved cargo mix, principally in the China trade.”
While primarily a Jones Act domestic carrier servicing Hawaii and Guam from the West Coast, Matson has seen recent success in its several trans-Pacific China routes.
Matson officials cited the commencement of a second South China route as a main reason behind a 29 percent increase in the carrier's China container volumes during the third quarter.
Matson's surging profits also contributed to a doubling of parent firm Alexander & Baldwin's net profit and a 20 percent rise in A&B's third quarter revenue.
The Oakland, Calif.-based carrier reported operating profits of $40.4 million on $267.5 million in revenue for the third quarter. While the carrier's domestic cargo volumes were down or flat across the board, a 14 percent increase in revenue on the carrier's China routes buoyed the firm's earnings.
Hawaii container volume was down 2 percent in the third quarter, Hawaii automobile volume dipped 10 percent and Guam container volume remained flat compared to the third quarter in 2009.
According to the carrier, growth was “principally due to a $24.8 million increase resulting from higher yields and improved cargo mix, principally in the China trade.”
While primarily a Jones Act domestic carrier servicing Hawaii and Guam from the West Coast, Matson has seen recent success in its several trans-Pacific China routes.
Matson officials cited the commencement of a second South China route as a main reason behind a 29 percent increase in the carrier's China container volumes during the third quarter.
Matson's surging profits also contributed to a doubling of parent firm Alexander & Baldwin's net profit and a 20 percent rise in A&B's third quarter revenue.
Wednesday, November 25, 2009
Matson Raising Hawaii Rates, Terminal Charges
Joining a long list of shipping lines raising cargo rates in recent weeks, Matson Navigation Co. announced Tuesday that starting Jan. 3 it will cost an extra $120 per westbound container and an extra $60 per eastbound container to ship on its Hawaii service.
The Jones Act shipping line also said as of Jan. 3 it will be adding an extra $125 per westbound container and $60 per eastbound container to its terminal handling charge.
In a statement, Matson said the reasons for the hikes were the dual need to offset rising operating costs and to "support ongoing investments" in the line's Hawaii service.
Matson said specifically, of the terminal handling charge, that while the line continues to absorb many of costs associated with terminal operations, it needs "to pass some of the expense on to our customers."
