17 Feb 2022 | 21:38 UTC

Port of Los Angeles notches best January on record amid import rush

Highlights

Loaded imports fall 2.4% on year

Empty container evacuation grows amid strong demand

Volume strength projected for 2022

The Port of Los Angeles said Feb. 17 it registered its best January on record as US importers looked to frontload ahead of the Lunar New Year holiday in Asia.

Total volumes rose 3.6% against the year to 865,595 TEU, up over 13,000 TEU from the previous record set in 2019.

"Strong consumer demand continues to drive imports," said Port Executive Director Gene Seroka in a Feb. 17 briefing. "Lunar New Year created a rush of cargo to get out of Asia before the holiday slowdown."

Loaded imports tallied at 427,208 TEU, down 2.4% on the year, as the San Pedro Bay port complex was pressured by coronavirus-related labor shortages and landside logistical slowdowns.

Congestion at the port complex also peaked in January, with 109 vessels awaiting berth or slow steaming toward the adjacent ports of LA/LB.

But metrics have improved during February, in large part from the Lunar New Year holiday in China. Seroka reported that 69 containerships were en route across the Pacific to the San Pedro Bay, the lowest number since October.

Exports continue to tumble

Loaded exports from the port maintained a downward trajectory during January and were counted at 100,185 TEU, a 16% decrease against the year. Loaded exports from Los Angeles have fallen for 35 of the last 39 months, attributable in part to the burgeoning US trade deficit, Seroka said.

"For every loaded export leaving Los Angeles, nearly 3.5 empty containers went along for the ride as well," Seroka added. "[We have] 64,000 empty containers on the docks."

Empty exports climbed over 21% on the year to 338,202 TEU, as demand for empty containers in Asia persisted.

Strong volume forecast

The port expects volumes to remain firm in 2022, as consumers opt to buy goods and retailers make efforts to keep up with sustained demand.

"Retailers tell us that they're going to focus that time in Q2 to replenish inventory levels," Seroka said. "We're going to pivot into a more than early peak season this summer, probably late June or early July."

Editor:

Valarie Jackson