February was a busy month for the Port of Los Angeles, with record breaking import volumes. Container volumes jumped 30% in comparison with February 2014 and trucking companies also reported accelerating shipping demand. However, this positive growth, which comes on the back of several slow months, may only be temporary.
The Port of Los Angeles handled a February record 372,744 loaded 20-foot containers-worth of imports—a jump of 46.6% from February of last year. Exports grew 11% to 146,488 containers.
February’s import volume in Los Angeles also was 30% higher than the same month in 2014—evidence that the strong dollar and steady consumer demand are pulling more goods from abroad. In contrast, loaded export containers at the Port of Los Angeles in February were flat compared with February in 2014. The neighboring Port of Long Beach, the nation’s second-largest container port, reported similar trends in February.
“The robust turnaround this month signals improvement, but current economic conditions do not support a robust rebound,” the report’s author, Rosalyn Wilson, wrote, pointing to volatile energy markets and weak foreign economies.
In a statement Friday, the Port of Los Angeles said March volumes likely would be “softer” because of slowing production in China during the Lunar New Year last month. And both Los Angeles and Long Beach container volume will drop significantly relative to March of 2015, when cargo through the West Coast ports surged after a new labor contract led workers to move quickly to clear backlogs of cargo.
For now, however, many freight companies are reporting that demand to ship goods is accelerating, a trend many expect to continue this spring under normal seasonal shipping patterns.
Source: wsj.com
