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.

 

News & Analysis

12 Apr 2018
Sponsored: JOC Senior Content Editor Alessandra Barrett and Port of Long Beach Chief Commercial and Operations Officer Noel Hacegaba dive into the implications of technology for ports and the supply chain as a whole.
29 May 2015
Crowley Maritime Corp.’s global ship management group has been awarded a contract to crew, operate and maintain four U.S.-flag domestic ships that Pasha Group is acquiring from Horizon Lines for operation in the West Coast-Hawaii trade.
29 May 2015
Matson Inc. has completed its previously announced $469 million acquisition of Horizon Lines, clearing the way for Matson to enter the U.S-flag domestic trade between the Pacific Northwest and Alaska.
MSC Fabiola in Long Beach
28 May 2015
Shipping lines and terminal operators at California’s major ports urged the state Air Resources Board to change the way that regulators look at goods movement before finalizing its Sustainable Freight Strategy that will govern emissions from vessels, trucks and trains over the next 35 years.
ILA workers in Port of Oakland
27 May 2015
Truckers in Northern California Wednesday reported sporadic incidents of mandatory International Longshore and Warehouse Union inspections of trucker-controlled chassis at the Port of Oakland, but the ILWU international headquarters apparently has not yet issued a coastwide mandate on chassis inspections since the new waterfront contract was ratified on Friday.
26 May 2015
Harbor drayage companies on the U.S. West Coast feared that a provision in the new International Longshore and Warehouse Union contract mandating longshore inspections of chassis would cause uncertainty and delays for truckers, but they didn’t imagine that it would happen so quickly.

Commentary

Oakland effectively crossed the chasm between the old and new industries, putting it at the vanguard of a transition on the West Coast that will likely see terminal consolidation at Los Angeles-Long Beach, which has 13 terminals across the two ports, and perhaps further consolidation in the Pacific Northwest.  

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