Why U.S. seaports need help
Even as the global recession has forced cutbacks in government spending, other countries continue to invest significantly more than the U.S. to expand and update their transportation networks
in the NewsSalonCentric: One Beautiful Network Q4 2017 Rail/Intermodal Roundtable: Improvements apparent; work remains The State of the DC Voice Market 2017 Admiral of the Ocean Sea Awards Ceremony Champions The Jones Act CSX provides update on Southeastern U.S. intermodal service More News
As recently as 2005, the World Economic Forum ranked the U.S. number one in infrastructure economic competitiveness.
Today, the U.S. is ranked 16th, while neighboring Canada is ranked 11th and fast-developing China has risen to 44th. This change in ranking is due mostly to the fact that the U.S. spends only 1.7 percent of its gross domestic product on transportation infrastructure while Canada spends 4 percent and China spends 9 percent.
Even as the global recession has forced cutbacks in government spending, other countries continue to invest significantly more than the U.S. to expand and update their transportation networks.
The following are examples of investments other countries are putting toward transportation infrastructure:
?• India plans to invest $60 billion, including both public and private funds, in creating seven new major ports by 2020 to handle a rapid expansion in exports of merchandise, which is forecast to triple by 2017.
??• Brazil expects tonnage at its coastal ports to more than double, to 1.7 billion tons by 2022, and has committed $17 billion, including $14 billion from the private sector, for port improvements. ??
• The world’s fourth largest marine terminals operator, DP World, plans to spend $2.5 billion on London’s Deep-Water Gateway, the United Kingdom’s first such development in the last 20 years.
About the AuthorPatrick 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 [email protected]
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!
Q4 2017 Rail/Intermodal Roundtable: Improvements apparent; work remains LM Viewpoint: Collaboration, Now more than ever View More From this Issue