West Coast Ports

West Coast Ports

Productivity is the name of the game for West Coast ports leading up to the expansion of the Panama Canal in 2015. Unlike many of the ports on the East and Gulf coasts that are deepening their harbors and enlarging their marine terminals to prepare for the mega-ships that will begin transiting the canal in 2015, the major West Coast gateways already have 50-foot harbors and terminals of 100 to more than 400 acres in size.

In order to prevent an erosion of market share to East Coast ports, the Seattle-Tacoma, Oakland and Los Angeles-Long Beach gateways must improve their efficiency in unloading vessels, moving containers through the yards and expediting the departure of containers by truck and intermodal rail.

The 25 to 26 container moves per crane per hour that mark West Coast port operations must be increased to at least 30 moves per hour. Terminal operators are exploring options for automating yard, gate and on-dock rail operations. The busiest terminals will invest in costly equipment such as dual-hoist cranes, automated guided vehicles and automated stacking cranes. The ports of Los Angeles and Long Beach, which together handle about 40 percent of U.S. imports from Asia, will spend more than $7 billion in the coming decade on larger, more efficient terminals and improved connectivity to rail and highway networks.

Offering a transit time advantage of a week to 10 days to the U.S. interior, and the potential for reducing per-slot vessel costs by hundreds of dollars with the arrival of vessels having a capacity of 13,000-TEU capacity, West Coast ports want to beat the canal by even further expanding their 70 percent market share of U.S. imports from Asia.

 

Special Coverage

The 12,500-TEU MSC Fabiola broke records when it first called at California ports in 2012.
West Coast ports will spend the coming year in much the same way they spent the past year: preparing for big ships operated by big carrier alliances.

News & Analysis

28 Jan 2015
Vessels are backing up at an alarming rate at West Coast ports due to congested marine terminals and work slowdowns by the International Longshore and Warehouse Union.
28 Jan 2015
The Philippines-based terminal operator ICTSI, which operates the Port of Portland’s only container terminal, said Wednesday it is experiencing even more intensive hard-timing tactics by the International Longshore and Warehouse Union than at other West Coast ports, and continued job actions could threaten the terminal’s viability.
27 Jan 2015
Demand for U.S. industrial property will remain strong for at least the next 24 months even though the market for manufacturing and distribution facilities has experienced four years of continuous growth, according to the latest U.S. Industrial Outlook published this week by CBRE Research.
27 Jan 2015
The exclusion of roughly 600 drayage drivers from Port Metro Vancouver’s new licensing system has raised tensions here in what is increasingly looking like a showdown between truck drivers and the government.
27 Jan 2015
Labor disputes on the West Coast and a recovering national economy sent record-breaking cargo volumes to Georgia ports in 2014.
27 Jan 2015
Congestion on the West Coast, which has led to delays of one to three weeks on nearly all trans-Pacific services, has led carriers to inject significant additional tonnage into the trans-Pacific to maintain a semblance of schedule reliability, Alphaliner said.

Commentary

The honeymoon in the wake of the Federal Mediation and Conciliation Service assuming control of the West Coast talks between the International Longshore and Warehouse Union and its employers lasted less than a week. If anything, the negotiations have reached a nadir since mediators joined the fray, with both sides engaging in a war of words that has busted wide open a mutual pledge the two sides made when this process began last May not to discuss details of the negotiations.

Video

Don Krusel, Prince Rupert Port Authority president/CEO, speaks about competitiveness, labor relations and plans for expansion.
Dr. Noel Hacegaba, deputy executive director, Port of Long Beach, discusses port productivity and the impact of mega-ships, the role of infrastructure investment, and the need to emphasize system improvements to increase efficiency.
Acting Long Beach Port Director Al Moro talks about the ambitious projects to prepare the port for the big new container ships that are calling there. POLB and private investors are providing billions of dollars to build new rail lines and a huge automated container terminal, as well as to replace the Gerald Desmond Bridge, which is too low for the new ships.