March volumes impress again for Port of Los Angeles and Port of Long Beach

At a time of the year when United States port volumes are typically low, the exact opposite continues to be occurring, with volumes, specifically on the import side, continuing to shine.

That was very apparent in March volumes recently respectively issued by the Port of Los Angeles (POLA) and the Port of Long Beach (POLB).

Total March POLA volume—at 957,500 TEU (Twenty-Foot Equivalent Units)—represented a 113% annual increase compared to March 2020, when global trade essentially halted due to the outset of the COVID-19 pandemic. This tally marked the highest-volume March in the port’s history, in addition to its largest monthly annual increase, and its third busiest month ever.

Imports—at 490,115 TEU—headed up 123%, with exports—at 122,899 TEU—eking out a 1.5% annual gain. And empty containers, which POLA said remain in heavy demand in Asia, rose 219%, to 344,585 TEU.

On a year-to-date basis through the first quarter, total POLA volume was up 44%, to 2,592,430 TEU, for the busiest first quarter in POLA history.

POLA Executive Director Gene Seroka said on a media conference call yesterday that March’s total volume would represent a “big volume month” in a Peak Season month like September or October, adding that the port has never seen volume like this in the first half of a calendar year.

“This represents eight consecutive months of [annual] increases, following 11 straight periods of declines,” he said. “We have been averaging just about 900,000 TEU per month over that time span. I have not witnessed an import surge of this magnitude in all my years in the industry.”

POLA welcomed 95 container vessels that berthed at the port in March, including four extra loaders, compared to 68 ships calling at the port in March 2020. And the port also averaged 16 container vessels working at berth every day in March, whereas, in pre-pandemic times, it welcomed about ten ships per day. POLA closed March with 18 container vessels at anchor, representing an additional 215,000 TEU yet to be worked through the port.

Serorka noted that the remarkable story on imports continued in March, as the consumer spending surge continues unabated in the U.S., coupled with more people getting vaccinated and businesses re-opening, and the U.S. economic outlook remaining strong.

“The National Retail Federation forecast shows no let up in buying through the summer, with consumers spending as fast as retailers can stock their shelves,” he said. “The export side of the ledger is quite different…with relatively flat business compared to last March. Exports have dropped 26 out of the last 29 months here at POLA, and the ratio of loaded imports to exports in March continued at about 4:1, the highest gap we have seen in recent times. And the madness continues with empties…with March at three times the amount we saw last year. It is the most empties we have ever repositioned in one month.  

POLB data: The Port of Long Beach reported that total March volume—at 840,387 TEU—was up 62.3% annually, for its busiest month in the port’s history, and its largest annual gain for any single month. This eclipsed December 2020, which came in at 815,885 TEU by 24,502 TEU, and also marked the third time that the port handled more than 800,000 TEU in a single month.

POLB said that this output represents the ninth consecutive month that POLB has topped cargo volume records for a specific month, going back to July 2020.

POLB March imports—at 408,172 TEU—increased 74% annually, and exports fell 3.9%, to 139,710 TEU, compared to March 2020, a period, the port observed, when the economic effects of COVID-19 led to cancelled sailings and fewer cargo shipments processed through the port. Empties—at 292,505 TEU—saw a 11.5% increase.

Total first quarter POLB volume—at 2,376,128 TEU—headed up 41.2% annually, for its best first quarter on record, topping the first quarter of 2018 by 481,251 TEU, and it also marked its second best volume quarter ever, trailing the fourth quarter of 2020.

“Although the pandemic is receding, consumers are spending less on travel this year and turning toward online retail in unprecedented numbers to purchase exercise equipment, office furniture and home improvement items,” said Mario Cordero, Executive Director of the Port of Long Beach, in a statement. “The demand for e-commerce is happening more quickly than we anticipated, but we will continue to collaborate with our industry stakeholders to catch up with the unprecedented cargo volume at our gateway.”