By Editorial Group T21
@ GrupoT21
In order to alleviate port congestion and supply chain disruptions at the ports of Los Angeles and Long Beach, the Secretary of the United States Department of Transportation (USDOT), Pete Buttigieg, organized a virtual round table with officials and representatives of the international logistics community, in search of solutions.
The ports of Los Angeles and Long Beach together serve as gateways to international trade, as approximately 40% of all containerized cargo that flows through the United States arrives or leaves through these ports.
21 “Over the past year, those who work in our ports, including our terminal operators and truckers, have worked hard to keep cargo moving and our economy running. For our economy to fully recover, we now need our vital supply chains to run smoothly and without avoidable congestion, “said Buttigieg.
In a statement, the USDOT noted that while the Biden-Harris Administration continues to believe that supply chain disruptions are transitory, they are focused on addressing these challenges using all the tools at their disposal. Last month, the president announced the Task Force on Supply Chain Disruptions to leverage the full capacity of the federal government to address short-term supply-demand mismatches.
Participants identified multiple factors that contribute to congestion in San Pedro Bay ports, but agreed that the situation is critical and committed to identifying and working towards solutions to increase performance at the port in an environmentally friendly way. sustainable.
As of July 15, 18 container ships were at anchor in San Pedro Bay, up from more than 40 ships at the beginning of the year, but several participants expressed that there are additional steps that can be taken in the short and medium term to help alleviate further more congestion and speed up cargo movement.
Shippers also expressed concern regarding the appraisal of detention and stay (fees charged when a container remains for an extended period of time inside or outside a terminal), but expressed gratitude that the Presidents’ Executive Order on Promoting Competition in the American Economy addressed this issue and urged the Federal Maritime Commission to continue to act.
During the event, the Secretary of the California State Transportation Agency (CalSTA), David S. Kim, announced that, following the dialogue initiated by Secretary Buttigieg, CalSTA would host a forum to examine options to improve cargo movement in and around ports in late September.
In addition to the roundtable, USDOT is regularly engaging with stakeholders to address port congestion, meeting with the World Shipping Council, representatives and leading companies from the National Retail Federation, FMC Commissioners, unions and stakeholders throughout the supply chain to discuss current challenges in freight movement.
These challenges include delays in the movement of U.S. exports, hold and hold practices (fees charged when a container remains for an extended period, either inside or outside a terminal), and opportunities to improve data sharing. .
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