Current Status
We have seen the spread of the coronavirus cause a sharp decline in import containers, but we know the market will turn. COVID is supposed to slow down when the warm weather hits. We predict this will cause a sharp increase in container volumes.
Our customers are paying attention and want to know how Port X Logistics will handle the increased container volume when containers start coming in.
The Issues
We see many factors that are going to influence the drayage marketplace in the US once containers start coming in again post Chinese New Year and COVID. Capacity will be one issue, but here are a list of other items that will impact the market, most notably in LA/LGB. On the west coast, issues will be:
- Megaships along with alliances will cause immediate terminal congestion
- Dwell times from vessel to rail will increase
- Terminal appointments will be difficult to secure in a timely fashion
- Possible dual transaction requirement
- Wait times to get into terminals
How to Prepare
We believe the biggest issue will be productivity, especially on the west coast. Capacity is hampered when drivers only get one turn per day instead of two or three.
You can certainly buy capacity or reserve trucks on a daily basis in some markets, but the productivity of those trucks cannot be guaranteed. The number one thing that any freight forwarder can do is provide DO’s well in advance of vessel arrival.
We want DO’s 72 hours before the ship berths.
If containerized cargo needs to be expedited via trans-load, our west coast team is geared up and ready to go. Be sure operators are not waiting until the last minute to issue paperwork.
Expert Planning is in Place
Port X Logistics specializes in crisis management, and this will be no different. You can count on us to get the job done. We will provide constant updates, high-visibility shipment tracking, and more to minimize the impact of this crisis. You can learn more about our crisis management services here.
Need to talk to our experts? Email us at letsgetrolling@portxlogistics.com
