New York is now the busiest port in the United States and a turning point in the history of American trade

2022-09-20

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The historic import and export Container processing in August pushed New York Port and New Jersey Port to the first place, surpassing Los Angeles Port and Long Beach Port.

That comes as trade flows continue to shift from the West Coast and logistics managers fear strikes or work stoppages.Port Los Angeles ranked third in the country in August, carrying 805,314 Container.That's 37,877 fewer than the 843,191 in New York and New Jersey ports.Long Beach Port ranked second, carrying 806,940 imports and exports to Container.

"We are surpassing the pre-COVID-19 pandemic numbers.It's amazing and an honor for the men and women who move goods with such efficiency, "said Kevin O 'Toole, chairman of the Port Authority."Our railway planning complements actual infrastructure and dredging so that this increased capacity would not have occurred four or five years ago."

This August is the busiest August in the history of New York and New Jersey Port, and the fourth busiest month on record.The port's busiest five months all took place in 2022.

More East Coast trade and more port congestion

CNBC supply chain heat map shows how the continuous growth of trade makes East Coast ports and Gulf ports winners in this freight movement.Logistics companies and warehouses serving these ports also benefit from the new Container.CSXAnd the Nofolk Sothern Railroad carry imports and exports to Container on the east coast.Berkshire Hathaway and Union Pacific's BNSF move Container in and out of the port.

The increase in processing in Container has increased the waiting time in ports on the East Coast and the Gulf of Mexico.For manufacturers who need components to complete their products or put finished products on store shelves for sale, congestion increases delays in arrival times.

During the week of September 19, MarineTraffic monitored 28 container ships waiting outside Savannah Harbor, with an average waiting time of 9.9 days.There are 12 container ships waiting for an average of nine days in New York Port and New Jersey Port.There are 25 container ships berthed in Houston Port, with an average waiting time of 8 days.

Josh Brazil, vice president of supply chain insight at Project 44, said: "While sales are up, congestion at East Coast ports may be at an inflection point after months of record import levels."

The number of ships lined up at Savannah Port in Quantity has fallen from more than 30 last month to 16 today, Project 44 data shows.Congestion in New York also declined slightly.However, Houston still has 20 ships behind it, roughly the same as Quantity last month.

"The backlog at ports is likely to continue to ease in the fourth quarter due to a decline in ship Quantity due to a slowdown in consumer demand," the Brazilian said.

Seaborne prices fall

Trade flows away from the West Coast reduce the demand for slots, leading to lower shipping prices from the Far East to the West Coast.

Peter Sand, chief shipping analyst at Xeneta, said: "After adjusting for inflation in retail sales, retail sales in the United States were flat from last month, so demand did not drop significantly.""Shippers are still shipping a lot of Container on the East Coast, the West Coast and the Gulf Coast."

Xeneta tracked a new record difference between spot exchange rates from the Far East to the coast.

"This is a sign that congestion on the West Coast has almost been cleared, and the freight volume at ports and terminals is within control," Sander said.As a result, the freight rate of trans-Pacific routes has dropped faster than that of East Coast freight.

Logistics prices are one of the main inflation triggers beyond the control of the Fed.

"Congestion on the east coast of the US has led to high rates, coupled with the additional disruption on the coast caused by the troubles in northern Europe," he added, referring to the recent strike by British port workers that has put pressure on the European port network.

Sand said shippers are still hesitant to return the diverted goods to the West Coast of the United States.

CNBC Supply Chain Heat MapDataProvided by Everstream Analytics, an artificial intelligence and predictive analysis company;Freightos, the global freight booking platform, the founder of Freightos Baltic Dry Bulk Freight Index;Logistics supplier OL USA;FreightWaves;, a supply chain intelligent platform;Blume Global;, a supply chain platform;Oriental Star Group, a third-party logistics provider;Marine analysis company MarineTraffic;;Maritime Visibility Data Company Project 44;Maritime transport data company MDS Transmodal UK;Sea and air freight rate benchmark and market analysis platformXeneta;Sea-Intelligence ApS;, a leading research and analysis provider;Global logistics of cranes;Air transport, DHL Global Forwarding;Freight logistics provider Seko Logistics;And the planet,Provider of global daily satellite imagery and geospatial solutions.