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Push to operate the LA port 24 hours a day, 7 days a week to slow start

Removing bottlenecks in Southern California ports may not be as easy as it sounds.

The head of the country’s busiest container port moved the White House on Thursday, not knowing how quickly the Los Angeles Harbor maritime terminal could grow to 24/7 operations. Announced 1 day ago To ease supply chain tensions before the holidays.

Port officials are discussing timelines with private companies operating the gateway’s seven container terminals, as well as with major importers about the best time and method to pick up cargo. , Said Gene Seloka, Managing Director of the Port.

“We are moving as fast as we can,” said Seloka. “I have no intention of setting an artificial deadline.”

NS Cargo backlog The adjacent port of Los Angeles and Long Beach is a major gateway to imports from Asia to the United States, clearly reflecting the chain of problems across the global supply chain that led to shortages and rising consumer costs. ..

More than 60 container ships anchored in San Pedro Bay on Thursday waiting to berth at a port facility in Southern California, and Seloka said 25 more were expected to arrive in the next three days. Before the pandemic, it was unusual to have to wait for multiple ships to berth.

Due to port congestion and bottlenecks in crowded warehouses and inland cargo terminals toy, Apparel and other products from Asian manufacturers to US retailers. According to the online freight market Freightos, such a journey currently takes more than 75 days.

At that rate, goods that haven’t left China today will not arrive until the end of Christmas.

John Biden’s official, John Polkari, who was tasked with alleviating port congestion, said Thursday that all players in the private sector of the supply chain would need to work together to deal with the unprocessed portion. “It’s not like switching on a lamp,” he said.

The Biden administration said Wednesday that it had secured commitments from six major companies to expand nighttime use at the Port of Los Angeles.

Walmart Ltd,

With Target Co., Ltd.

Samsung Electronics Ltd

The administration says it will facilitate the movement of 3,500 additional containers a week. The two ports typically move about 200,000 import boxes each week.

Southern California ports are typically open from 8 am to 5 pm and from 6 pm to 3 am on weekdays. Business hours on Saturdays are limited and are usually closed on Sundays.

NS Pilot program Launched last month to operate one of six terminals on Long Beach 24/7, it attracts truck drivers due to the limited number of boxes that can be picked up and dropped off. It took a long time.

If some terminal operators and port operators are not working on the movement and storage of cargo 24 hours a day, 7 days a week, truck companies, warehousing, and other parts of the supply chain are worth the additional cost of operating 24 hours a day. It states that it is not. Freight carriers lack labor and equipment, putting a strain on domestic logistics capabilities.

Douglas Kent, Executive Vice President of Strategy and Alliances for the Nonprofit Supply Chain Management Association, said: “If we’re still stuck in the rail network and suffering from a shortage of truck drivers, it’s probably not enough to solve what we’re suffering from today,” he said.

Shekar Natarajan, Chief Supply Chain Head of Clothing Retailers

American Eagle Outfitters Ltd,

Overtime transactions should facilitate the movement of goods, but large shippers who use their own dedicated truck fleets rather than hiring operators in the open market will benefit more. There is a high possibility that it will be done.

“Small and medium-sized shippers will continue to fight and experience delays,” said Natarajan. Because they rely on third parties and rarely manage their supply chain directly.

Write to Paul burger Paul.Berger@wsj.com

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Push to operate the LA port 24 hours a day, 7 days a week to slow start

Source link Push to operate the LA port 24 hours a day, 7 days a week to slow start

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