Port Laredo has regained the No. 1 spot among the nation’s 450 international gateways for trade, topping the Port of Los Angeles for the second time in a year.
During February, Port Laredo recorded $18.6 billion in two-way trade, while the Port of Los Angeles had $17.2 billion, according to the latest U.S. Census Bureau data analyzed by WorldCity.
Port Laredo’s new ranking is tied to the ongoing U.S.-China trade war and the coronavirus pandemic that has hurt the Port of Los Angeles, said Ken Roberts, an economist at WorldCity.
“A stunning development the first time, the result of the impact of the U.S.-China trade war on the [Port of Los Angeles], this time it’s the one-two punch of the ongoing trade war and the coronavirus pandemic that has sent it, the U.S. economy and the global economy, reeling,” Roberts said in Forbes.
The Port of Los Angeles fell to second, largely because of its dependence on Chinese imports, Roberts said. The ports trade with the world declined 15.2% in February, according to WorldCity.
Port Laredo, located in South Texas along the U.S.-Mexico border, is made up of four international vehicle bridges, one international rail bridge and an international airport.
Around 16,000 trucks cross the port’s bridges daily, totaling $231.58 billion in imports and exports in 2019.
Port Laredo previously surpassed the Port of Los Angeles in March 2019 as the nation’s number one trade hub. It was the first time in the port’s 168-year history that it ranked first. The Port of Los Angeles regained the top spot a month later in April 2019.
Roberts predicted that Port Laredo will be the leading trade port for the foreseeable future due to its proximity to Mexico, the U.S.-China trade war and the lasting effects of the coronavirus.
Mexico finished 2019 as the leading U.S. trading partner for the first time in history and continues to be the nation’s top trading partner for the first two months of 2020.
“This time, unlike last time, it is not likely to be a one-month aberration,” Roberts said. “Port Laredo passed the Port of Los Angeles before the full brunt of the impact of coronavirus would have even hit the Los Angeles seaport.”
