News Updates

Return to Newsletter Index

DHX - Dependable Hawaiian Express

8/31/2017

Dear Valued Customers,

The following is provided for your information:

State of Hawaii Harbor User Fee Increase and Security Fee

As previously announced in January 2017, the State of Hawaii Department of Transportation, Harbors Division’s next wharfage increase of 15% takes effect on October 1, 2017. Part of the State’s financing plan for its multi-year harbors modernization program, a third increase of 15% is also scheduled for an effective date of July 1, 2018.

While rates vary depending on equipment size, commodity and destination, for the majority of our customers the October 2017 change will result in increases of approximately $16 - $31 per container on Oahu destined freight and $33 - $66 on Neighbor Island freight.

WHARFAGE CHARGE CHANGES
TO/FROM HAWAII as of October 1, 2017

20'

24'

40'

45'

OAHU

$15.65

$28.30

NEIGHBOR ISLANDS

$33.05

$66.08

As a result, our LCL wharfage rates will increase by 2 cents per cubic foot to Oahu and 4 cents per cubic foot to the Neighbor Islands effective with sailings on or after October 1, 2017.

Hawaii Facility Security Fee

In addition, the State of Hawaii will increase the Facilities Security Charge by $2.25 for Oahu and $3.37 for Neighbor Island shipments. The charge will be $17.25 per container for Oahu and $25.87 for Neighbor Island containers effective October 1, 2017.

The Hawaii Facilities Security Charge for LCL will remain at 1 cent per cubic foot for Oahu. Outer Islands LCL charges will remain at 2 cents per cubic foot. This charge appears on our invoices as a separate line called “Hawaii Facilities Security Charge” (aka: HFSC).

Hurricane Harvey

All Port Houston facilities will be out of business temporarily due to Hurricane Harvey. We are experiencing rail delays out of Houston, Chicago, New York, and Atlanta CFS stations. A return to normalcy for shipping patterns into/out of Houston, with functioning roads and rails, is not expected for at least a month.

Safety and well-being of people are of paramount importance under these circumstances. The storm will affect supply chain operations whether or not you have facilities or customers in the area.

We might experience and come up against some of the following events during the aftermath of Hurricane Harvey:

Refineries in Corpus Christi, Lake Charles, and Houston have about 30% of the nation’s oil refining capacity. The disruption in that area will drive up fuel prices in the short-term for consumers, and for the fuel surcharges our trucking carriers charge. Historically, these prices return close to normal levels within a couple of months.
Economists estimate transportation costs will rise between 5-22% in the short term as carriers become less available due to the demand of priority shipments/requests from FEMA, other Federal and State agencies and emergency related organizations.
FEMA and other responding agencies are already putting pressure on the market to move equipment and supplies to the stricken areas. We are hearing from other carriers that it will affect flatbed trailers immediately (heavy equipment), followed by refrigerated (food and ice), and then dry trailers (bottled water and other supplies). As a result, carrier capacity may get tighter.
Expect some temporary delays on transit time or missed commitments. FEMA and other agencies will need carriers to bring needed equipment and supplies, and will pay a hefty premium to have priority service. We will work with our carrier base to minimize these interruptions.

Should you have any questions, please contact our Corporate Customer Service at 800-488-4888, or 310-537-2000, Ext. 2020 or email us at custserv@dhx.com.

Thank you for your business - we appreciate it!