Los Angeles Port Volume Falls in March, But First-Quarter Total Sets Record
The Port of Los Angeles, the largest U.S. container port, reported a 23% drop in March business, which was affected by comparisons to the distorted cargo trends last year that featured congestion related to the final stages of labor contract negotiations.
The March total of 612,863 industry-standard 20-foot container units topped a quarter that was the busiest in the port’s 109-year history, according to a statement.
The total shipments handled during the quarter were 2.03 million TEU, 11% higher compared to last year’s first quarter. In the 2015 period, cargo volumes were slowed in January and February as the International Longshore and Warehouse Union’s members slowed cargo handling until a tentative settlement was reached in late February. Delays and congestion persisted through the end of last year’s first quarter as dozens of ships that were waiting to unload gradually were handled.
The first-quarter results also were affected by the timing of Lunar New Year, which this year fell on Feb. 8. Cargo moves are linked to that date because of widespread plant closures in Asia for as much as two weeks after the event.
“Our first-quarter growth is significant and encouraging,” Port of Los Angeles Executive Director Gene Seroka said. “The feedback we are receiving from cargo owners and exporters is that the port is delivering on speed, efficiency, cost and service. Our terminal operators and supply chain partners are working with us to continuously improve and optimize operations.”
The statement also noted that the CMA CGM Benjamin Franklin and Maersk Line’s Edmonton, the two largest vessels calling at North American ports, are expected to arrive during the same time next week to further increase cargo volumes.
The March totals included 33% fewer imports, 9.5% higher exports and 23% empty containers moved offshore to be reloaded elsewhere.
Neighboring Long Beach, the second-largest U.S. port, hasn’t yet released March cargo information.
#PortofLA eclipses 2 million TEUs for record first quarter; overall volume up 11.3% in 2016 https://t.co/iNUa5d0AOA pic.twitter.com/eYlo2BoD9M — Port of Los Angeles (@PortofLA) April 12, 2016
