NRF: U.S. container imports slip from record 2015 volumes

Ports covered by the Global Port Tracker report handled 1.32 million TEUs in March 2016, down 14.2 percent from February and 23.7 percent from an all-time high in March 2015, according to the National Retail Federation and Hackett Associates.    Import cargo volumes at major United States container ports fell dramatically in March compared with record 2015 volumes, but were still “some of the highest ever seen,” according to the monthly Global Port Tracker report by the National Retail Federation (NRF) and Hackett Associates. 
   Ports covered by Global Port Tracker handled a total of 1.32 million TEUs in March 2016, the latest month for which after-the-fact numbers are available, down 14.2 percent from February and 23.7 percent from an all-time high in March 2015.
   Import volumes last year skyrocketed in March following the negotiation of a new dockworker labor contract between the International Longshore and Warehouse Union and employers represented by the Pacific Maritime Association. The deal brought an end to severe congestion issues at U.S. West Coast ports caused by the lengthy and contentious negotiations, bringing with it a “flood of backlogged cargo through the ports.”
   NRF noted the 1.73 million TEUs handled by Global Port Tracker ports in March 2015 broke a previous monthly throughput record of 1.59 million TEUs set in September 2014. It was followed by numbers as high as 1.68 million TEUs as the backlog cleared, but this year’s forecast peak of 1.62 million TEUs in August would still be among the six highest months on record.
   “Retailers are importing less merchandise than last year but these are still some of the highest numbers we’ve ever seen,” NRF Vice President for Supply Chain and Customs Policy Jonathan Gold said. “Carefully managing imports will balance out high inventory levels but consumers can still expect to see a deep and broad selection of products.”
   Looking forward to the rest of 2016, April is forecast at 1.5 million TEUs, a 0.8 percent year-over-year decrease; May at 1.57 million TEUs, a 2.7 percent decline; June at 1.56 million TEUs, a 0.8 percent decline; July at 1.61 million TEUs, a 0.6 percent decrease; August at 1.62 million TEUs, a 3.7 percent decline; and September at 1.56 million TEUs, a 3.9 percent decrease from last year.
   Total volumes in the first half of 2016 are expected to reach 9 million TEUs, down 1.4 percent from the same 2015 period. Overall throughput in 2015 stood at 18.2 million TEUs, up 5.4 percent compared with the full year in 2014.
   Hackett Associates Founder Ben Hackett said the decreased imports reflect both high inventory levels and slow growth in consumer spending in recent months.
   “Consumer spending is still growing but not as fast as in the past,” said Hackett. “A more cautious approach is being taken.”
   Global Port Tracker, which is produced for NRF by Hackett Associates, covers the U.S. ports of Los Angeles, Long Beach, Oakland, Seattle, Tacoma, New York/New Jersey, Hampton Roads, Charleston, Savannah, Port Everglades, Miami and Houston.