SoCal port says new supply of chassis is first step towards congestion relief.
Port of Long Beach officials say they have begun efforts to help mitigate the severe congestion and delays experienced by shuttle drivers and their customers during the past year.
On Friday, the port authority said it played a role in the decision by chassis leasing companies Direct Chassis Link Inc. (DCLI) and TRAC Intermodal to add more than 3,000 chassis to the local fleet over the next few weeks to help provide short-term congestion relief.
Earlier in the week, the city agency said it created a Congestion Relief Team headed by new CEO Jon Slangerup that will meet daily to solicit feedback from staff and tenants, monitor performance at terminals and collaborate on solutions.
The drayage trucking industry is undergoing a transitional phase related to the ownership and availability of chassis equipment that carries international containers to and from the port. Ocean carriers used to provide the equipment as part of all-in rates for ocean shipping, but most recently sold off their fleets and there is no common business practice yet for the best way to supply, maintain and bill for chassis through third-party providers.
Industry officials in Southern California and some other ports say there is a severe mismatch of supply and demand because new super-size vessels are dumping more boxes than can be serviced at one time, many chassis are out of service due to maintenance problems and chassis depots are often not located where demand is greatest on a given day. Some terminals have sufficient chassis and others don’t have enough.
In September, DCLI and Flexi-Van announced plans to establish a gray chassis pool by Jan. 1 that would make chassis inter-operable within existing equipment pools supplied by multiple leasing companies. Arrangements are also being made for various pools to easily interchange equipment, so it doesn’t have to be picked and returned by truckers at the same point. Truckers complain they waste a lot of time each day retrieving and returning chassis to a particular terminal or provider. The goal is to establish common pick up and drop off locations.
“Alleviating congestion is one of my top priorities and I know our commissioners are focused on facilitating solutions,” Slangerup said in a statement. “And let me be clear – cargo is moving at the Port of Long Beach. We are customer-focused and this is just another way to let our key tenants know that their business success is our primary mission.”
The Long Beach Board of Harbor Commissioners has also been discussing ways to increase terminal productivity and truck turn-times, including greater utilization of rail and the establishment of a port-wide appointment system.
“Increasing inbound rail movement of export cargo and developing short-haul rail will help ensure an ample amount of chassis return to port for import delivery,” Vice President Richard Dines said in a statement. “It is time we take a systems approach to moving cargo and we will start by building a better chassis model.”
Dines heads a subcommittee that is looking into the productivity problems.
Long Beach is also seeking permission from the Federal Maritime Commission to form a discussion agreement with the Port of Los Angeles on common issues of concern such as congestion.
Long Beach tries to identify port productivity solutions
