Subscribe to our free, weekly email newsletter!



Made in America, but expensive to ship

By Patrick Burnson, Executive Editor
April 27, 2011

For U.S. exporters, reductions in oceanborne cargo service frequency due to slow steaming are problematic, says the National Industrial Transportation League.

As noted in our current news section, importers weighed in on a query from the Federal Maritime Commission on the effect of slow steaming on U.S. ocean liner commerce. Not surprisingly, most did not see any cost savings. In fact, there appear to be several disadvantages to the strategy.

For exporters the situation seems even worse. They are finding it harder to compete against foreign companies that are not affected due to their reliance on surface transportation rather than water.

Simply put, the lengthening of voyage time provides international companies with a competitive advantage because they can deliver products more quickly.

With exports placed high on the national agenda, is this really the best way to create jobs in America?

For related articles click here.

About the Author

image
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

Mexico's growing importance in the continental supply chain is now being recognized by North American transportation groups

Satish Jindel, president of Pittsburgh-based SJ Consulting, says that one way for LTL carriers to improve both their bottom lines and overall productivity is to get a better grasp on the cost of handling a shipment and the pricing they have for it.

Falling 5.5 cents to $2.668 per gallon, this follows last week’s 5.9 cent decline for the lowest weekly average price going back to the week of October 14, 2009, when it was at $2.60 per gallon.

With the latest round of Trans-Pacific Partnership (TPP) negotiations in Maui, Hawaii ending without a deal, U.S. supply managers may be adjusting to other global sourcing strategies.

The PMI, the ISM’s index to measure growth fell 0.8 percent to 52.7 (a PMI of 50 or greater represents growth). PMI growth has been at 50 or higher for 31 straight months (with the overall economy growing for 74 months), and the current PMI is 1.7 percent below the 12-month average of 54.4.

Comments

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