East Coast Port Cargo Traffic Surges as West Coast Falters
Growing international trade and continued diversion after West Coast dock disruptions have enabled the three largest East Coast ports to record double-digit cargo gains, based on the latest reports from New York-New Jersey, Savannah, Georgia, and the Norfolk, Virginia, area.
The Port Authority of New York and New Jersey, the third-largest U.S. port, reported 19% growth in June and a 13% improvement in the first half of 2015, compared with the year-earlier periods. At Savannah, cargo increased 17% through the six months, and June shipments climbed more than 20%. The Port of Virginia’s June growth was 14%, while six-month totals were 9% higher.
“We’re reaping the benefits of a strong regional economy and labor uncertainty on the West Coast,” said Richard Larrabee, port commerce director for the Port of New York and New Jersey. “Our challenge now is to find ways to more efficiently handle the record volumes we have seen all year. We’ve been working collaboratively with all port stakeholders to meet this goal.”
Cargo flows through the New York-New Jersey docks have been affected by a slower-than-expected creation of a chassis pool. Port truckers have complained to the Federal Maritime Commission about contract terms being imposed by ocean carriers and lessors. Union inspections also have been an issue.
The pattern on the East Coast is a contrast to the two largest U.S. ports, Los Angeles and Long Beach, California, where cargo totals in the first half of 2015 have barely kept pace with last year.
New York-New Jersey handled 3.09 million 20-foot container units, or TEU, over the first six months of this year, compared with 2.73 million in that period last year.
Savannah facilities, operated by the Georgia Ports Authority, handled 1.92 million TEU in the first half of 2015, and 3.66 million TEU for the 12 months ending June 30.
