Outbound Shipping and Logistics
Q4 2021 Market Update
The Domestic Transportation and Warehousing Logistics of Delivering Products to North American Customers
CHOKED PORTS & SHIPPING BACKLOGS IN NORTH AMERICA At Los Angeles - Long Beach, North America’s busiest port, over 150 ships were docked at port in late September, more than twice the normal number, while another 60 ships waited at-anchor off- shore. American Shipper Estimated 500,000 containers await unloading at LA-Long Beach, alone. At an average of 1000 cases / container, 500 million cases of product await passage thru the port. CBS News Average wait time to dock and unload a container ship at LA-Long Beach is now 10 days, up from the normal 4. Marine Exchange of Southern California New shipping services seeking a share of record profits have entered service, typically sailing smaller vessels that carry less freight and disproportionately reduce port operational efficiency. Woodland Group, American Shipper DRIVER SHORTAGE + HIGHER FUEL PRICES = HIGHER COST North America has more than 60,000 open truck driver positions, a need projected to exceed 100,000 by 2023. CNBC Drivers are commanding large fees and bonuses, and selectively avoiding routes prone to storm weather in the Southeast and wildfires in the West. Freightwaves Diesel fuel cost over $1 more per gallon than in Q3 ’20. Energy
Ports of Los Angeles & Long Beach, 09/28/21 – MarineTraffic.com
Information Administration
By mid-summer, Full Truckload shipping rates had spiked 44% from January levels. ACR Transportation
4
Made with FlippingBook - Online magazine maker