ST. CROIX — Crowley and Tropical Shipping, two of the primary ocean carriers serving the Virgin Islands, have announced significant fuel surcharge increases for cargo moving between the U.S. mainland and the territory, citing continued volatility in global fuel markets.
Both increases are scheduled to take effect April 12 and are expected to raise shipping costs across a wide range of goods entering the territory.
David DeCamp, Crowley’s corporate communications director, said the advance notice is intended to provide transparency.
“It’s good for consumers, as well as the shippers — the businesses that rely on visibility as well as reliable service,” he said. “They can see the maximum possible charge for fuel that would go into effect on April 12.”
He emphasized that the published rates represent a ceiling, not a final price.
“It’s the maximum adjustment,” DeCamp said, adding that the final amounts may be lower based on market fluctuations. “As everyone understands right now, fuel costs across the board, whether it’s your car or a ship, have increased and then become particularly viable during this time. So, this accounts for that.”
Crowley plans to review the rates again before implementation to make adjustments as needed.
“That really reflects our commitment to making sure we’re being prudent with our fuel as well as the costs that are incurred to ship,” he said. “Our commitment is really to maintain that reliable service to the USVI and other destinations and communities that we serve.”
According to DeCamp, the increases reflect broader trends.
“We’re feeling these cost increases across the industry, among all shippers, because of the impacts of the fuel system and supply chain after the conflict in the Middle East has begun,” he said.
While fuel availability has not been significantly constrained, he said shifting shipping patterns and disruptions in key regions have contributed to higher costs.
“It doesn’t necessarily create a volume issue right now in terms of providing fuel, but there is a greater cost factor that we’re all experiencing — whether it’s gas at the pump or operating an ocean-going vessel,” DeCamp said.
Under Crowley’s new rates, a standard 20-foot container will increase from $200 to $450, while a refrigerated 20-foot container will rise from $320 to $720. For 40-foot containers, the surcharge will climb from $400 to $900, including nonoperating refrigerated units. Operating refrigerated 40-foot containers will increase from $640 to $1,440.
Additional increases include rates for 45-foot containers rising from $462 to $1,042, while 45-foot refrigerated containers increase from $702 to $1,582. The cost for 53-foot containers will go from $542 to $1,222, and not-in-trailer cargo charges will climb from $400 to $900. Vehicle shipping rates will increase from $90 to $190.
Crowley is not the only major ocean carrier in the territory that is increasing its fuel surcharge.
Tropical Shipping has announced that its fuel surcharge will increase to protect the integrity of its service and support the stability of the Caribbean supply chain. The company noted the rates will be reviewed before implementation to ensure they reflect current market conditions.
Under the currently projected new rates, a 20-foot dry container will see the surcharge rise from $150 to $525, while a 20-foot refrigerated container will increase from $240 to $840. For 40-foot dry equipment, the surcharge will go from $300 to $1,050, and for 40-foot refrigerated equipment, from $480 to $1,680. Containers greater than 40 feet will have their surcharge rise from $338 to $1,181. Vehicles shipping rates will increase from $150 to $525.