Retail container traffic ends 4-month slump
Traffic at the nation’s major retail container ports ended a four-month slump in December, rising above the previous year’s level for the first time since mid-summer, according to the monthly Port Tracker report released Tuesday by the National Retail Federation and Global Insight.
“Retailers were managing their inventories very carefully during the holiday shopping season, and their efforts worked well,” said Jonathan Gold, NRF vice president for supply chain and customs policy. “Month-to-month numbers are declining as we head into the winter slow season, but we’re starting to see increases again when year-to-year numbers are compared.
U.S. ports surveyed by Port Tracker — Los Angeles-Long Beach, Oakland, Tacoma and Seattle on the West Coast; New York-New Jersey, Hampton Roads, Charleston and Savannah on the East Coast; and Houston on the Gulf Coast — in December handled an estimated 1.35 million TEUs of container traffic, up 3.3 percent from December 2006.
The ports are all rated “low” for congestion, the same as last month.
“All the U.S. ports we cover are operating without congestion from the harbor to the gate and are rated low for congestion through the spring,” Global Insight Economist Paul Bingham said. “Rail performance measures continued to be adequate in December. Intermodal rail operations are also performing adequately, and are expected to continue to do so over the next six months.”
In November, the most recent month for which actual numbers are available, the ports handled 1.38 million TEUs of container traffic in November.
While December's projection was down from November’s total, it marked the first time since July that the monthly figure was an increase from the same month in 2006 as retailers reduced imports in anticipation of a slower holiday season. Volumes were down 4.4 percent from October’s 1.44 million TEU, and 2.2 percent below November 2006. September was down 1.9 percent from the year-earlier, while August was down 1.4 percent.
January 2008 is forecast at 1.31 million TEU, up 1.8 percent from January 2007. February — traditionally the slowest month of the year — is expected to be down 5.5 percent from February 2007 at 1.24 million TEU.
But Port Tracker predicts year-over-year increases should resume in March, which is expected to be up 6.3 percent over March 2007 at 1.35 million TEU. April is forecast at 1.43 million TEU, up 8.1 percent, and May is forecast at 1.44 million TEU, up 4.4 percent.