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Oakland cargo volumes recover from 2014-15 port congestion

The port handled 35 percent more cargo in January than in the same 2014 period and said that, in addition to restoring regular service following congestion issues last year, restocking before Lunar New Year may also be a factor in the growth.

   The Port of Oakland handled 191,155 TEUs of containerized cargo in January, 38.5 percent more than in January 2014 when West Coast ports were in the grips of a congestion crisis that developed during contract negotiations between the International Longshore and Warehouse Union and employers.
   Compared to last January, imports moving through the port were up 75.8 percent to 77,637 TEUs.
   The port also handled about 5,000 more TEUs than were imported in January 2014, when labor issues weren’t constricting volume.
   Exports were up 16.8 percent from January 2015 to 67,272 TEUs, with the remaining volumes consisting of empty containers being either loaded or discharged from ships.
   In addition to the distortion caused by last year’s labor talks, the port said the increase in volume may reflect “U.S. importers stocking shelves ahead of Lunar New Year factory shutdowns in Asia.”
   John Driscoll, the port’s maritime director said the increase shows “we have recaptured the cargo that moved temporarily away from the West Coast a year ago.”
   “A number of importers diverted containerized cargo to gateways outside the West Coast a year ago in January,” the port said. “It was a work-around for slowdowns and congestion that hampered ports from San Diego to Seattle. Since a new waterfront labor contract was signed last spring, shippers have been re-establishing western supply routes.”
   In addition, many ships were delayed in berthing ships. As a second port of call, Oakland was particularly hard hit since many ships were delayed in Los Angeles or Long Beach before transiting to Oakland where there were also ships at anchor waiting to berth. Some cargo was discharged in Southern California ports instead of Oakland.

Chris Dupin

Chris Dupin has written about trade and transportation and other business subjects for a variety of publications before joining American Shipper and Freightwaves.