Port Has Best Month in 8 Years

LONG BEACH, CA—The Port of Long Beach had a 6% increase in cargo activity in the month of May, making it the best performing month since October 2007 and the best performing May since 2006. During the month of May, a total of 635,250 TEUs of cargo moved through the port. The rise in activity is a result of the strengthening retail market.

“We're seeing an increase in cargo throughout as the economy continues to rebound, with retailers bringing in more imports to meet consumer demand,” Lee Peterson, media relations lead at the port of Long Beach, tells GlobeSt.com. “The industry relies upon the advantages offered by Long Beach, including the facilities and the connectivity to markets.”

In addition to a booming retail market, the port is also boosting its cargo activity with new services, including an ongoing $4 billion modernization project. Overall for the year, cargo activity is up 1.1%, and Peterson expects the growth to continue. “We would expect to see 2% to 3% growth in 2015 compared to 2014 for containerized cargo,” he says. Thankfully, the increase in cargo has not lead to any congestion, which experts at the recent NAIOP I.CON conference last week said has been an increasing issue.

The news of increased activity comes on the heels of a resolved labor dispute between the Pacific Maritime Association and the International Longshore and Warehouse Union, which led to a port slow down earlier this year. Some researchers were concerned that the slow down would have long-term effects; however, imports in the month of May exceeded exports. Empty containers rose 22.6% and the port is shipping them overseas to be filled with cargo and sent back.