Photo: adamkaz / E+ / Getty Images
LOS ANGELES (CNS) - Cargo volume increased by 60% in February compared to the same period last year, representing the seventh consecutive month of year-over-year growth, Los Angeles Port officials announced Monday.
Officials described February as another "strong month" at the port with about 781,434 Twenty-Foot Equivalent Units processed. Imports landed at 408,764 TEUs, a 64% jump compared to February 2023, and loaded exports came in at 132,755 TEUs, an increase of 61%.
Additionally, the port processed 239,916 empty containers, up 53% over February 2023.
"We saw a significant uptick over the last year in all categories with overall February volume exceeding our running five year average by 15%," Gene Seroka, executive officer of the port, said during a monthly briefing on Zoom.
Two months into 2024, the port has handled a total of 1,637,086 TEUs, a 35% increase over the same period last year.
"Looking ahead, March cargo volume should be in the 650,000 TEUs range, as cargo eases somewhat to the later Lunar New Year slowdown, but pickup started very quickly," Seroka said.
He added that the first quarter total should be almost 2.3 million TEUs, or 25% better than last year.
Seroka cited the growth as a result of the market's confidence in "our gateway" -- the strongest it's ever been. Operational data shows that cargo is flowing efficiently and the port has additional capacity available to accommodate future demand.
He also noted the latest data continued to show that the U.S. economy is in a good place, bolstering consumer confidence.
"A strong February jobs report with 275,000 new jobs added, along with an uptick in retail sales, makes it clear that Americans are keeping up with their spending habits," Seroka said. "While questions remain about the direction of inflation and interest rates, our economy continues to get a boost in the job market and rising wages."
The port of L.A. is in a good spot moving into the next quarter and the rest of 2024, he added.
Leo Huisman, APM Terminals' Americas regional managing director, joined Seroka for the briefing. Huisman oversees 14 container terminals in eight countries across North and South America, including a terminal at the port of Los Angeles.
He agreed that 2024 appears off to a good start in the whole western hemisphere, specifically in the U.S., where the terminal supply chain is fluid and efficient.
"What I do see is that the nearshoring in the Americas is continuing and especially some spectacular growth from imports in Mexico," Huisman said.
He highlighted how container terminals need to adapt to climate change and evolve to be successful into the future.
"Our industry has always proven resilient in the face of disruption and change over time," Huisman said. "For our collective success in the future, terminal and port operators need to be thinking about how best to prepare for improving our infrastructure, increasing sustainability, and upskilling the workforce."