A hundred vessels, seventy of them container-carriers, are waiting to unload at seaports in Los Angeles and Long Beach. This is not the first traffic block at these seaports but the current number of ships is record-breaking.
According to experts, about 70% of all international trade of the US occurs via seaports; 40% of cargo ships pass through the marinas of Los Angeles and Long Beach. The two main California seaports receive a major part of import from China.
In 2002 and 2004, the seaports were blocked for 10 and 8 days, respectively, and even then, the situation led to serious economic consequences, and this with the number of ships being below 30. The situation has not become less complicated over the recent years. The demand for consumer goods is constantly growing; since about 80% of such products are imported in the US, higher demand results in higher seaport traffic. According to BBC News, over the past year alone, the amount of cargo passing through the port of Los Angeles has increased by one third.
In August this year, over 40 vessels were waiting to unload at the two seaports, in September the number amounted to 65, then 97. At present, a record number of 100 vessels are in line. Apparently, this is not the limit, as well: dozens of container-carriers are still following transpacific trade routes at the moment. Experts do not rule out that jams at the ports can continue up until Christmas.
The nearest port in Oakland is not capable of receiving such freight volumes, even if a part of ships will be redirected there. Starting from 13 October, at the initiative by the administration of the US president Joe Biden, Los Angeles and Long Beach terminals began working around the clock. This has also affected logistics companies FedEx, UPS, and Walmart retailer company.
However, this step has not helped to resolve the existing situation. Delays are observed at every stage of delivery: warehouses, depots, and railways. On 21 October, Joe Biden said at a public meeting in Baltimore, Maryland, that he is willing to involve the US National Guard in solving the problem of supply disruptions in the country. According to the President, the National Guard can help transport goods, among other things by providing manpower as drivers.
A similar problem, although at a reduced level, has arisen at a largest UK freight port, Felixstowe, Suffolk County. Container-carriers are reported to take twice as much time to unload – nine days against four. The causes are diverse: unstable schedule of arriving vessels, along with shortage of loaders and drivers resulting from the pandemic. To avoid standing idle, many container-carriers go to other ports in the UK and Europe where goods are allocated among smaller vessels and sent directly to their destinations.
