Subscribe to our free, weekly email newsletter!

Golden State’s exports continue to surge

By Patrick Burnson, Executive Editor
April 15, 2011

California exporters recorded their 16th consecutive month of healthy year-over-year gains in February with shipments totaling $11.76 billion, a 13.4 percent increase over the same month last year, according to an analysis by Beacon Economics of foreign trade data released recently by the U.S. Commerce Department.

Manufactured exports were up 9.4 percent, while non-manufactured exports (chiefly raw materials and agricultural products) rose by 10.6 percent. Re-exports were meanwhile up by 30.8 percent.

“On an inflation-adjusted basis, California’s export trade this February exactly matched the value of our exports in February 2008, before the global economy began its precipitous slide into an abysmal recession,” said Jock O’Connell, Beacon Economics’ International Trade Adviser.

“Growing exports will continue to be an important part of the recovery in the nation and in California,” added Beacon Economics Founding Partner Christopher Thornberg. “The solid employment numbers coming out of San Jose and San Diego can be directly traced to growing technology exports.”

Unlike the United States as a whole, which saw merchandise exports decline 2.3 percent from January to February, California’s exports of goods this February topped the previous month’s total by $17 million.

“Export figures should really be viewed as lagging economic indicators in the sense that cargos departing today are the result of foreign orders for California goods that were placed weeks or even months ago,” O’Connell advised.

“Interpreting February’s numbers does not require a crystal ball but rather a review of news reports from last fall to see what was happening then that might have been informing business expectations about the future,” O’Connell explained.

In an interview with SCMR, O’Connell noted that On the plus side for California exporters, the dollar has fallen 6 percent so far this year against a weighted basket of currencies from America’s major trading partners.

“Most forecasts call for the dollar to move even lower as the year through this year,” he said.

About the Author

Patrick Burnson
Executive Editor

Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at .(JavaScript must be enabled to view this email address).

Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

As was the case a month ago, the Global Port Tracker report from the National Retail Federation (NRF) and maritime consultancy Hackett Associates is calling for annual import cargo volume gains at United States ports, as retailers gear up for the holiday season.

More than nine months after saying it was not for sale, Long Beach Calif.-based non asset-based third-party logistics (3PL) services provider UTi Worldwide has apparently changed its tune, with the company saying it has entered into a definitive agreement to be acquired by Denmark-based global 3PL DSV for $1.35 billion and $7.10 per share.

September carloads—at 1,417,750—were down 4.9 percent—or 72,597 carloads— annually, and intermodal—at 1,365,980 trailers and containers—was up 1.2 percent—or 16,272 trailers and containers.

Slowing global trade and a bloated orderbook of large vessel capacity mean that container shipping is set for another three years of overcapacity and financial pain, according to the latest Container Forecaster report published by global shipping consultancy Drewry.

The NRF is calling for 2015 holiday sales to see a 3.7 percent annual gain to $630.5 billion, which comfortably outpaces the ten-year average of 2.5 percent.

Article Topics

News · All topics


Post a comment
Commenting is not available in this channel entry.

© Copyright 2015 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA