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Graph of the Week: Volume of railway containers loaded with international and domestic departure – Los Angeles, outgoing tender volume index – Los Angeles, Ontario Sound: Irailintl.lax, Iraildoml.laxOtvi.lax, otvi.ont
The intermodal demand of the Los Angeles market continues to show a strong annual growth, obtaining a quota from the fighting truck sector. As the main gateway to the United States for goods arriving from Asia, Los Angeles is the first region where the effects of new rates will be evident. Although there have been no structural changes in domestic goods patterns originating in this region so far, it is expected to be changed in the coming weeks. So what should we watch and what can we learn from current data?
The ports of Los Angeles and Long Beach, California, manage most of container imports in the United States, processing approximately 32% of the total volume. New York and New Jersey port complexes occupy second, with approximately 15%.
As a result, the Los Angeles area has become one of the largest warehouse centers in the country and, therefore, the largest outgoing transport market. Analyzing the volumes of intermodal containers in the demand of the railway and the truck load, we get a vision of how the rates can affect the wider transport trends and the demand of the consumer in the United States
Goods usually reach these ports in international containers (Irailintl), which generally have a length of 20 or 40 feet. These containers can be transferred directly into railway lanes to the port, offering an efficient interior shipping option. However, maritime shipping companies and freight carriers, who have or lease these containers, do not always allow them to move inland. However, they are often transmitted in domestic containers (Oraildoml) or palletized for truck transportation.
Many of these goods are also placed in warehouses for future compliments. This “detachment” behavior has increased last year as companies face the growing challenges in the supply of goods outside the United States
Chinese merchandise rates are a significant concern for both companies and consumers who go to May. Upstream reserve data suggests that a significant fall in Chinese container volumes in the United States is imminent, although the exact impact of downstream is still uncertain.
According to the Sonar Ocean Reserve Volume Index (through the application of Atlas containers), reserves for twenty -foot container equivalents have decreased about 45% in recent weeks. This index is based on the reserve dates, usually eight to 15 days before the containers leave their port of origin, giving us at least one month before these shipments reach the ports of southern California.
