Ocean cargo carrier Matson Inc. halts shipping electric vehicles to Guam over fire risk

Ocean cargo carrier Matson Inc. abruptly halted all shipments of electric vehicles, plug-in hybrids and hybrids to and from Guam because of growing safety concerns over lithium-ion battery fires at sea. The shipping company primarily operates between the U.S. mainland, Hawaii, Alaska, Micronesia and other Pacific islands. Atkins Kroll, one of Guamโ€™s leading auto dealers, confirmed the move, leaving the islandโ€™s EV supply chain facing new uncertainty.

โ€œSo they sent us notice that they were no longer sending out EVs or plug-in HEVs or hybridsโ€ฆWe see the notice, and weโ€™re kind of disappointed because that was one way that we would receive vehicles from them, from the U.S. mainland,โ€ Atkins Kroll business development director Ernie Galito told the Pacific Daily News on Thursday. The suspension, issued by the Honolulu-headquartered shipping company, applies to both new and used vehicles.

Matsonโ€™s decision reportedly follows an increase in maritime incidents involving fires linked to EV batteries and will remain in effect until comprehensive safety procedures are in place. Atkins Kroll has no current electric vehicle shipments in transit, according to Galito. Its most recent delivery of EVs arrived in late 2023, and its Original Equipment Manufacturer partners have not provided shipping timelines for future arrivals. The companyโ€™s current EV inventory is low and mostly consists of high-end models.

Pacific Daily News

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