Meager LA-LB Growth Underscores Impact of Competition

I just came back from visiting our San Diego Distribution Centers and then meetings in Tijuana. Manufacturing is really starting to crank up and we are seeing high demand for our San Diego locations. Shorter supply chain, avoidance of all the union drama at the ports, and the higher costs from the steamship lines have all led to customers making the decision to manufacture more in Mexico, ultimately taking a bite out of port volume.