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US PORT/RAIL RAMP FREIGHT INDEX

PORT CONTAINER DRAY OPERATIONS OCEAN/DOMESTIC CONTAINER


RAIL RAMP OPERATIONS
SEVERE NORMAL ELEVATED
Atlantic

Pacific West Inland


Rail Ramp Laredo
Corpus Christ
i

Brownsville

ELEVATED

NORMAL Philadelphia

East Inland
Rail Ramp

Gulf
Corpus Christi

FEB. 2023 US PORT/RAIL RAMP TRUCKING DEMAND MAR. 2023


15,000 15,000

10,000 10,000

5,000 5,000

0 0

East Inland Rail Atlantic Ocean Region Pacific Ocean Region East Inland Rail Atlantic Ocean Region Pacific Ocean Region
Gulf Ocean Region West Inland Rail Gulf Ocean Region West Inland Rail

SUMMARY – APRIL, 2023


ILWU work slowdowns on April 6th, 7th, and 10th in LA/ termination facilities are the only options for truckers to
LB are the opening salvo in what will be tense ILWU and terminate empties. This inefficiency will only drive up
PMA negotiations over the next couple of months. This trucking costs and detention costs to BCOs as well as
was the first major public display of how far both parties strain operations at the terminals. Reports are that MSC
are apart and has moved this region to a SEVERE containers are becoming the most immediate concern.
concern on the index. These tactics were employed
Pricing for container bookings and trucking should
during the last major labor dispute between the ILWU
remain steady throughout 2023 as reduced demand and
and PMA in 2015 and caused significant disruption. The
supply will drive that paradigm. We are forecasting rates
negotiations between both parties should continue to
to lift in or around early Q1 2024 as trucking capacity will
escalate further, as the ILWU does not have the leverage
exit the market due to regulatory/downward rate
it once did as volumes are significantly less due to
pressure as well as ocean liners pulling equipment off
economic factors and lost market share to the Gulf and
the market.
East Coast ports.
Also of significant concern throughout the US ports and
especially in LA/LB is the lack of empty return fluidity. In
most cases dual transactions and off hours/off port
US PORT/RAIL RAMP FREIGHT INDEX
PACIFIC REGION – SEVERE PACIFIC OCEAN REGION - FEB 2023
5,000

4,000

3,000

2 ,000
Vessel Terminal Chassis Container Transload Outbound
Congestion Operations Availability Storage Availability Capacity 1,000

0
SEATAC San Fran./Oakland, CA Portland, OR
Los Angeles/Long Beach, CA Seattle/Tacoma, WA

OAK
PACIFIC OCEAN REGION - MAR 2023
LA/LB 5,000

4,000
OPPORTUNITY FOR OPERATIONAL EFFICIENCY – Avoid LA/LB for the next 3,000
two months if possible. If booking to LA/LB is a must, add additional dray 2 ,000
capacity immediately because it will be needed. 1,000

POTENTIAL HEADWINDS – Labor Disruption and empty container termination 0

restrictions. Container storage availability in Oakland. San Fran./Oakland, CA Portland, OR


Los Angeles/Long Beach, CA Seattle/Tacoma, WA

ATLANTIC REGION – NORMAL


ATLANTIC OCEAN REGION - FEB 2023
5,000

4,000

3,000

2,000
Vessel Terminal Chassis Container Transload Outbound
Congestion Operations Availability Storage Availability Capacity 1,000

0
NY/NJ Wilmington, NC Sav annah, GA
Phil adelphia, PA Baltimore, MD
Boston, MA Norfolk, VA
Charleston, SC Jacks onville, FL
NORFOLK New York/New Jersey Miami/Ft. Lauderdal e, FL

CHARLESTON ATLANTIC OCEAN REGION - MAR 2023


5,000

SAVANNAH 4,000

3,000

MIAMI 2,000

1,000

OPPORTUNITY FOR OPERATIONAL EFFICIENCY – Consider booking Trans- 0


Wilmington, NC Sav annah, GA
Phil adelphia, PA Baltimore, MD
Pacific freight to the East Coast as opposed to West Coast to avoid labor Boston, MA Norfolk, VA
Charleston, SC Jacks onville, FL
disruptions. Especially if the freight is not immediately needed. The increased New York/New Jersey Miami/Ft. Lauderdal e, FL

transit time will provide additional “free storage”.


POTENTIAL HEADWINDS – Bring in additional dray capacity to handle
potential increase in volume due to bookings to the East to avoid West Coast
port labor concerns.

GULF REGION – NORMAL GULF OCEAN REGION - FEB 2023


5,000

4,000

3,000

Vessel Terminal Chassis Container Transload Outbound 2,000


Congestion Operations Availability Storage Availability Capacity
1,000

TAMPA 0

Houston, TX New Orleans, LA Tampa, FL Mobile, AL

MOBILE
GULF OCEAN REGION - MAR 2023
NEW ORLEANS
5,000

HOUSTON 4,000

3,000

OPPORTUNITY FOR OPERATIONAL EFFICIENCY – Consider booking Trans- 2,000

Pacific freight to the Gulf Coast as opposed to West Coast to avoid labor 1,000

disruptions. This is the fastest path into the US for Trans-Pacific freight when 0

avoiding the West Coast. Houston, TX New Orleans, LA Tampa, FL Mobile, AL

POTENTIAL HEADWINDS – Potential for congestion if Trans-Pacific booking


patterns shift from the West Coast to the Gulf Coast.

LEVEL OF
CONCERN
Normal Elevated Severe
US PORT/RAIL RAMP FREIGHT INDEX
WEST INLAND RAIL RAMP REGION – ELEVATED WEST INLAND RAIL - FEB 2023
5,000

4,000

3,000

2,000
Ramp Ramp Chassis Container Transload Outbound
Congestion Operations Availability Storage Availability Capacity 1,000

SLC Omaha, NE
Denver, CO
Kansas City, MO
Phoenix/Tucson, AZ
Dallas/Ft. Worth, TX El Paso, TX

DENVER Minneapol is/St. Paul, MN Sal t Lake City, UT

WEST INLAND RAIL - MAR 2023


DALLAS 5,000

4,000
OPPORTUNITY FOR OPERATIONAL EFFICIENCY – Consider continuing 3,000
booking to inland rail ramps via IPI to get freight closer to inland DC’s. Onboard 2,000
additional dray providers to get favorable per container/truck ratios. 1,000

POTENTIAL HEADWINDS – Beware of IPI freight entering the West Coast ports. 0
Omaha, NE Kansas City, MO
Especially in LA/LB, as labor disruptions at the ports will affect those containers. Denver, CO Phoenix/Tucson, AZ
Dallas/Ft. Worth, TX El Paso, TX
Minneapol is/St. Paul, MN Sal t Lake City, UT

EAST INLAND RAIL RAMP REGION – ELEVATED


EAST INLAND RAIL - FEB 2023
5,000

4,000

3,000

Ramp Ramp Chassis Container Transload Outbound 2,000


Congestion Operations Availability Storage Availability Capacity
1,000

0
CHICAGO Atlanta, GA Chicago, IL Cinncinati, OH
Detroit, MI Indianapolis, IN Louisville, KY
Memphis, TN Nashvi lle, TN
MEMPHIS
EAST INLAND RAIL - MAR 2023
NASHVILLE 5,000

4,000
CHARLOTTE 3,000

2,000
ATLANTA
1,000

COLUMBUS 0
Atlanta, GA Chicago, IL Cinncinati, OH
Detroit, MI Indianapolis, IN Louisville, KY

OPPORTUNITY FOR OPERATIONAL EFFICIENCY – Consider continuing Memphis, TN Nashvi lle, TN

booking to inland rail ramps via IPI to get freight closer to inland DC’s. Onboard
additional dray providers to get favorable per container/truck ratios.
POTENTIAL HEADWINDS – Beware of IPI freight entering the West Coast ports.
Especially in LA/LB, as labor disruptions at the ports will affect those containers.

LEVEL OF
CONCERN
Normal Elevated Severe

ITS INSIDER ADVANTAGE OF THE MONTH


It is RFP season for trucking. Though it may go against conventional wisdom in container volume downturn
cycles, bring on new providers to your network. Onboard new providers with a national footprint that have
robust visibility platforms. If ILWU work slow-downs and stoppage continue you will need additional capacity as
per container/truck ratios get unfavorable and/or booking to new ports in the Gulf/East Coast become needed.

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