LOS ANGELES: After two months of slightly declining numbers, the Port of Los Angeles on Friday posted a 3.8 percent rise in cargo movement last month, an indication that bigger ships and cargo owners are returning to the nation’s busiest seaport.
The Port of Los Angeles moved 786,677 container units in August, its best month since August 2006, when the port moved 790,726 units. The 3.8 percent jump is modest compared to the Port of Long Beach, which recently announced two months of record-breaking cargo movement, moving 703,652 cargo units in August. That’s the most in a month recorded in the Long Beach port’s 104-year history and a 22.8 percent jump from the same time last year. It’s a significant rebound from June, when cargo numbers fell in Long Beach by 4.4 percent.
After a 2 percent drop in June and a 2.5 percent drop in July due in part to backups caused by port congestion, Los Angeles port officials are cheered by their August cargo growth, adding that it’s the port’s fifth strongest month ever. The Los Angeles port is also chasing its record best of 800,063 units, set in October 2006 before the Great Recession.
“(August’s) numbers are strong indicators that our terminal operators, longshore labor and supply chain partners are adjusting to the new industry dynamics of carrier alliances, deploying larger ships and delivering higher container volumes per call,” Port of Los Angeles Executive Director Gene Seroka said in a statement. “Our San Pedro Bay supply chain optimization working groups, overseen by the Federal Maritime Commission, are providing valuable insights that contribute to our mission to improve cargo-flow efficiency and velocity.”
Both ports saw sluggish numbers after shippers decided to divert their ships to other ports because of the congestion created by the lack of available trailers used to tow containers and contentious labor talks between longshore union and employers. Big ships are also playing a factor. In August 2014, 136 ships called at the Port of Los Angeles, bringing in 757,702 cargo units. Compare that to last month, when only 110 ships called but brought in 786,677 units.
That’s nearly 29,000 more container units on 26 fewer ships, showing that more megaships are coming to the port because of their cost-efficiency and the port’s ability to accept these larger ships, port officials said. The Port of Los Angeles is more than “big ship ready,” port spokesman Phillip Sanfield said.
“We are big ship active,” Sanfield said, adding that the port recently accepted three ships carrying more than 13,000 container units at the same time. Los Angeles also moved 383,551 imports last month, a 6.3 percent jump from August 2014, while exports fell 14 percent to 168,248 units.
