POLA and POLB volumes are strong in November

Strong November volumes were apparent at both the Port of Los Angeles (POLA) and the Port of Long Beach (POLB).

POLA and POLB are the two largest North American ports, and they collectively account for more than 40 percent of U.S. imports. As previously reported, West coast port volumes, especially in first half of the year, had been uneven, as ports had to work through the backlog caused by the nine-month West Coast port labor dispute between the Pacific Maritime Association and the International Longshore & Warehouse Union, which reached a resolution in the form of a new contract agreement that was reached earlier this year.

Total POLA November volumes were up 7 percent at 709,968 TEU (Twenty-Foot Equivalent Units) compared to November 2014.

POLA imports, which are primarily comprised of consumer goods, were up 7.6 percent to 358,423 TEU, and exports declined 5.7 percent to 142,020 TEU. Empties increased 16.5 percent to 209,525 TEU.

“We’ve seen container volumes at and above 700,000 TEUs for the past six months, which demonstrates consistency and the strength of our supply chain partners,” said Port of Los Angeles Executive Director Gene Seroka in a statement. “With larger vessels coming into the transpacific trade this month, including the CMA GGM Benjamin Franklin, we can further show the gains we have made this year in terms of effectively moving greater volumes through our port.”

POLA officials maintain that cargo owners are coming back to Los Angeles, with the port unmatched in speed to market, costs, infrastructure, labor (when it is fully operational like it has been since late February), and the handling of bigger ships.

“A lot of ports say they are big ship-ready. We are more than that: we are big ship-active,” he said. “We have had three 13,000 TEU ships at the dock simultaneously unloading here,” a port spokesman recently told LM.

Through the first 11 months of 2015, total POLA volumes, at 7,534,181 TEU, are down 1.9 percent annually.

November POLB volumes were up 6.6 percent annually to 619,699 TEU, representing the fifth consecutive month of volume gains and the second-best November in the 104 years of port operations.

POLB imports in October were up 4.3 percent annually to 306,654 TEU, with exports–still impacted by the strong U.S. dollar-were down 4 percent at 124,717 TEU. Empties rose 19.5 percent to 188,328 TEU in November.

POLB officials explained that the strong numbers in November were driven by upcoming post-holiday sales retailers have in the works, with retailers having stocked their shelves aggressively in recent months and shipping empties back abroad to be refilled and sent back.

“Thanks to our industry partners, we have had consistent gains throughout 2015 and are on track to move more than 7 million TEUs this year,” said Port of Long Beach CEO Jon Slangerup. “Retailers have reported a modest but healthy holiday season, which keeps us busy and the economy growing.”

POLB expects 2015 to top 7 million TEU which would mark the third time in port history that has happened, along with 2006 and 2007, when volumes hit 7.29 million TEU and 7.31 million TEU, respectively.

Year-to-date POLB volumes are up 5.5 percent at 6,595,619 TEU.