Dive Brief:
- Ocean peak season is still ongoing, with an increase cargo volumes that could make September the busiest month of the year for imports at major ports, according to a Global Port Tracker report published Sept. 9 by the National Retail Federation and Hackett Associates.
- Some of the volume shifts from the earlier in the summer are the result of recent typhoons in China and shippers rerouting away from the Panama Canal due to drought concerns, NRF VP for Supply Chain and Customs Policy Jonathan Gold said.
- “We thought the peak season would be mostly behind us by now, but that’s not the case,” Gold said.
Dive Insight:
Imports have remained buoyant over the past three months despite geopolitical conflicts, changing tariff policies, rising inflation and fuel prices, Hackett Associates Founder Ben Hackett said in the release.
“Retail sales remain strong and cargo is moving relatively smoothly, although there are reports of vessel delays and increased times required for cargo to move through the supply chain,” he said.
Peak season was initially forecast to potentially end earlier than usual due to shipper frontloading. Previously, container import volumes were expected to remain high in August before steadily declining through the rest of the year, per an Aug. 7 Port Tracker update. But volumes remain strong.
For instance, the Port of Los Angeles processed 955,907 TEUs in August, up 6% above the port’s five-year average, concluding the busiest three-month stretch in the port’s history, according to a Sept. 9 press release. September is expected to be another strong month for the port, Executive Director Gene Seroka said, noting “good momentum heading into the final months of the year.”
“We’ve put together an exceptionally strong summer in Los Angeles,” Seroka said. “Resilient consumer demand, early holiday shipments and a broad mix of cargo have all contributed to that strength.”
Historically, ocean peak season typically runs through the first or second week of November, Seroka said. However, this year, he expects peak season to be done by the end of September.
U.S. ports covered by the Global Port Tracker have yet to report August volumes, but the month was projected at 2.29 million TEUs, down 1.3% YoY, per the tracker. September is forecast at 2.31 million TEU, 9.6% higher than the previous year. Imports are expected to drop in October by 1.7% year over year to 2.11 million TEU.
