Congestion at the Port of Los Angeles has eased, but it is still subject to many unfavorable factors.

It is learned that on April 13, Gene Seroka, executive director of the Port of Los Angeles, said in his monthly briefing that cargo volume in March had increased slightly, with 958,674 standard containers passing through the terminal.

This is a slight increase from last year, and the port ended the first quarter with a 3.5% year-on-year increase in cargo volume. In addition, there were fewer ships waiting in line at the port, and cargo was handled faster at the terminal. Seroka attributed the increase in cargo volume to better liquidity at the terminal and improved labor supply due to fewer dockworkers away due to the COVID-19 pandemic.

Railroad issues, increased container dwell times and a backlog of Chinese ships, however, threaten the Port of Los Angeles’ ability to continue improving its supply chain. Still, port and union leaders say they are confident they can handle a potential surge in cargo.

Seroka reported that about 495,000 TEUs of imports passed through the Port of Los Angeles last month. The port handled nearly 112,000 TEUs of exports, down 9% year-over-year and the 37th decline in the past 41 months.

The Port of Los Angeles has been working for months to encourage shippers to increase rail use at its terminals. Those efforts paid off, with rail volumes increasing sixfold in March.

But congestion in the U.S. interior is disrupting rail operations at ports, leading to longer container dwell times and a rise in cargo density at terminals. Many shippers have shifted cargo to other ports or trucks after railroads suspended some inland services last year.

About 20,000 containers stayed at the Port of Los Angeles for nine days or more in March, up from 8,800 the previous month. But Seroka said the port is repositioning rail cars to get containers into the interior of the country.

Additionally, China’s blockade and upcoming labor negotiations at West Coast ports are likely to exacerbate congestion, with hundreds of ships waiting for cargo at Chinese ports likely to cause a short-term pause in the flow of goods, followed by a quick rebound in purchase orders as companies rush to restock inventories.

But Seroka remains confident in the ports’ ability to handle potential disruptions, and he doesn’t think it will get out of control at this point. Seroka also noted that upcoming labor negotiations at West Coast ports are making progress.

Editor ✎ Xiao Zhu/

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