Retailers remain cautious on merchandise imports

We are witnessing a period of import trade growth that is running more or less in sync with the U.S. economic expansion.
By Patrick Burnson, Executive Editor
June 10, 2013 - LM Editorial

Import volume at the nation’s major retail container ports is expected to increase 1.1 percent in June over the same month last year, reflecting modest growth expectations as retailers head toward the back-to-school and holiday seasons, according to the monthly Global Port Tracker report released today by the National Retail Federation and Hackett Associates.



“With the economic recovery moving slowly, retailers are being cautious this summer and could hold off on stocking up for the holiday season until fall,” NRF Vice President for Supply Chain and Customs Policy Jonathan Gold said. “We aren’t expecting significant increases for imports until October, when retailers will have a better idea of what to expect for holiday demand.”




The underlying growth rate in the economy is stronger than the headline numbers suggest, IHS Chief Economist Nariman Behravesh, but he agreed that shippers remain “ultra-cautious” about hiring and capital spending.

U.S. ports followed by Global Port Tracker handled 1.31 million Twenty-foot Equivalent Units in April, the latest month for which after-the-fact numbers are available. That was up 14.6 percent from an unusually slow March but down 0.1 percent from April 2012. One TEU is one 20-foot cargo container or its equivalent.



May was estimated at 1.4 million TEU, up 2.2 percent from a year ago. June is forecast at 1.4 million TEU, up 1.1 percent from last year; July at 1.44 million TEU, up 1.9 percent; August at 1.43 million TEU, up 0.5 percent; September at 1.42 million TEU, up 0.8 percent; and October at 1.45 million TEU, up 7.9 percent.

The first six months of 2013 are expected to total 7.8 million TEU, up 1.9 percent from the first half of 2012. The total for 2012 was 15.8 million TEU, up 2.9 percent from 2011.


“We are witnessing a period of import trade growth that is running more or less in sync with the U.S. economic expansion. Unfortunately, both are anemic,” Hackett Associates Founder Ben Hackett said. “The impact of this extremely cautious consumer spending is that we expect import consumption to remain weak for the coming four to six months.”




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

Seasonally-adjusted (SA) for-hire truck tonnage in November was up 3.5 percent compared to October, which was up 0.5 percent over September at 136.8 (2000=100), marking the highest SA on record.

UPS said that through this acquisition it will augment its healthcare expertise and network in Europe, specifically in the fast growing healthcare markets in Central and Eastern Europe.

Carloads were up 12.1 percent at 312,271, and intermodal at 280,337 containers and trailers saw a 4.5 percent annual gain.

Total November POLB volumes were up 2.1 percent year-over-year at 581,514 TEU, and POLA volumes in November decreased 3 percent compared to November 2013 at 663,346 TEU.

When railroads are doing business with a larger than large customer like UPS, it stands to reason, it can often be the best, and worst, of both worlds, depending on how things are going. That was one of the main takeaways from a presentation by UPS Vice President of Corporate Transportation Services Ken Buenker at this year’s RailTrends conference in New York.

Article Topics

News · Supply Chain · Container · Trade · TEU · Imports · All topics

About the Author

Patrick Burnson, Executive Editor
Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review. Patrick covers 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. Contact Patrick Burnson

Comments

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


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA