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Trade War Hits Southern California Ports Hard
Cargo trade through Southern California is feeling the impact of the trade war between the U.S. and China. The Port of Los Angeles and Port of Long Beach imported 789,788 TEUs in July, an increase of just 0.5% from a year earlier. The combined July export volume of the ports declined to 272,994 TEUs, down from 287,739 in July 2018.
The Port of Long Beach (pictured) was hit the hardest. Cargo volumes there last month dropped from the previous July, when the number of containers moved through the harbor neared 700,000 TEUs.
Long Beach’s July 2019 total, 621,780 TEUs, was 9.7% less than last year. Imports decreased 9.9% to 313,350 TEUs, and exports shrank 6.8% to 111,654 TEUs.
Port of Long Beach’s Mario Cordero says, “The trade war is hitting the West Coast hard. For more than a year, the supply chain has bent under the weight, and there’s very little give left. If the tariffs continue and escalate as planned next month, American consumers could see higher prices during the holiday season as businesses pass along their costs.”
Meanwhile, the sister Port of Los Angeles set a new single-month cargo record, moving 912,154 TEUs, the busiest July in the Port’s 112-year history. July 2019 imports increased 8.7% to 476,438 TEUs compared to the previous year. Exports decreased 4% to 161,340 TEUs.
Port of Los Angeles’ Gene Seroka says, “Container exchange per vessel reached 9,915 TEUs, the highest and most efficient level we’ve ever experienced. Despite the continued decline in exports and high level of uncertainty driven by trade tensions, we continue to optimize our facilities and are grateful for the support and confidence of our supply chain partners.”
For comments, questions or concerns, please contact Dennis Kaiser
- ◦Economy
