Descartes’ December Global Shipping Report points to declines in U.S.-bound imports

The new edition of the December Global Shipping Report, which was recently issued by Waterloo, Ontario-based Descartes, a provider of logistics based on-demand, software-as-a-service offerings, pointed to declining United States-bound import volumes, driven by East and Gulf Coast port volume declines.

The is the 28th edition of the Global Shipping Report, going back to its debut in August 2021.

From October to November, Descartes reported that U.S.-bound container import volumes fell 9%, to 2,099,408 TEU (Twenty-Foot Equivalent Units), which the company observed is consistent with late-in-the-year declines seen in recent years. For the same period, from 2019 through 2022, volumes were down 8.2%, 8.3%, 5.0%, and 12.0%, respectively.

Descartes explained that U.S.-bound imports from China decline at a slightly faster pace than the overall November numbers, coupled with the Panama Canal drought finally appearing to negatively impact U.S. East and Gulf Coast port volumes. And it added that the situation at the Panama Canal could get more dire, due to the Panama Canal Authority recently announcing it plans to further reduce the number of daily transit slots in the coming months. What’s more, the report’s author, Chris Jones, EVP Industry Descartes, said that the metrics this report is tracking “shows a consistent decline with seasonal import patterns and signs that global supply chain performance improvements have stalled.”

For the top 10 U.S. ports, Descartes found that U.S. container volume fell by 182,278 TEU, or 9.2%, from October to November, with nine ports posting decreases, including: the Port of Houston down 26.7%, or 46,857 TEU; the Port of New York/New Jersey, down 16.1%, or 62,062 TEU, and the Port of Charleston down 18.7%, or 22,632 TEU. The lone port to see a gain was the Port of Los Angeles, up 12,212 TEU, or 3.3%.

When looking at coastal volume share, Descartes found that the top West Coast ports beat out the top East and Gulf Coast ports, from October to November, with the top West Coast ports up 3.5%, to 43.1%, and the top East and Gulf Coast ports down 3.1%, to 42.0%.

For the top 10 countries of origin, Descartes said that U.S. container import volume in November was down 9.3%, or 155,571 TEU, compared to October, with China having the highest volume decrease, at 103,376 TEU, or 11.1%, and Italy being the lone country with an increase, up 0.8%, or 424 TEU.

Port transit delays were mixed in November, with Descartes reporting that the top West Coast ports saw two ports with slight decreases—the Port of Long Beach at 5.0, down from 6.1, and the Port of Long Beach at 3.9, down from 4.6. The top East and Gulf Coast ports saw three ports with slight increases, one with a decrease, and one flat.