freeport

US PORT CONGESTION UPDATE

Whilst Horizon International appreciates that the ongoing port congestion at many of the US ports and rail yards is a challenge for exporters and importers, we are also advised that its unlikely to improve greatly until later this year.

Los Angeles / Long Beach

There are currently 22 ships (+2) at anchor awaiting berths in LAX/LGB as of Friday May 21st. All terminals are extremely congested due to the spike in import volumes and basis current projections the congestion is expected to last through the summer.

The demand for available labour whilst improving, still affects all terminal operations, turnaround time for truckers, inter terminal transfers, the number of daily appointments available for gate transactions and delays in vessels operations.   Local trucking delays have been considerably reduced and are expected to continue improving in the upcoming month.

The LAX/LGB rail operations from all terminals continues to deteriorate due lack of rail capacity and railcars from the UP rail. This is affecting all on/off dock intermodal

OAKLAND

Currently there are 20 ships (-3) at anchor or drifting in the San Francisco Bay area as of May 21st.   One of five berths at OICT is scheduled to be available at the end of May with three new cranes in operation.

Massive import volumes combined with labour shortages are the biggest drivers of continued congestion and vessel operations delays.   Whilst exports and empty inventory have eased recently, congestion focuses on the import surge over the last month.   On-terminal imports are averaging up to 50% over previous months.

Alternative gate hours continue to have low trucker participation.   Vessels will be delayed in order to decrease terminal dwell, make room for incoming imports and keep terminals fluid as possible. Yard rehandling and restows on vessels due to change of rotation are creating further delays.   All berths remain occupied.

New York

No berth congestion this week, however 2 ships are at anchor as of May 21st.   Terminal yard utilization continues at manageable levels even though import dwell has increased slightly.   Empty volumes continues to be an issue but extra loaders are being arranged on a weekly basis to help manage growing empty stock levels, and additional depot space has been procured within the port which will give truckers another option for the return of empties. Terminal gate turn times are currently at an acceptable service level.

Savannah

Currently 7 ships (+5) at anchor as of May 21st. Volumes continue to be steady with high levels of import containers on terminal. Intermodal rail volumes are now moving out within 72 hours max with exception of Atlanta.

Intermodal / Rail Delays.

• Los Angeles, CA (12 days +*) – Long Beach, CA (12 days +*) – Atlanta, GA (15 days) – Charleston, SC (12 days) – Norfolk, VA (14 days) – Savannah, GA (15 days)
Markets / Average 7-days+:
• Baltimore, MD (10 days) – Boston, MA (7 days) – Buffalo, NY (7 days) – Charlotte, NC (8 days*) – Columbus, OH (7 days) – Dallas, TX (9 days) – Denver, CO (7 days*) – Houston, TX (7 days) – Jacksonville, FL (8 days) – Louisville, KY (10* days) – Miami/PT. Everglades, FL (7 days) – Philadelphia, PA (8 days) – Seattle, WA (10 days) – Tacoma, WA (10 days) – Salt Lake City, UT (7 days) – Memphis, TN (7 days*) – New York, NY (7 days*) – Portland, OR (8 days)
Markets / Average 4-days +:
• Birmingham, AL – Chicago, IL – Cincinnati, OH – Council Bluff, IA – Detroit, MI – El Paso, TX -Greensboro, NC – Greer, SC – Huntsville, AL – Indianapolis, IN – Laredo, TX – Minneapolis, MN – Oakland, CA – Pittsburgh, PA – Santa Teresa, NM – New Orleans, LA – Saint Louis, MO- Kansas City, MO

 

Horizon International and it’s US offices continue to monitor the congestion and is doing everything possible to keep delays to a minimum.