Dominant U.S. ports vie for container trade with larger shipsStaff Writer | August 4, 2017
In its most recent edition of “Ask the Expert,” Transwestern explores how the dominant U.S. seaports are on similar tracks to increase their share of global trade in containerized goods.
Shipping Improved infrastructure
Authors Michael Soto and Matthew Dolly explain how industrial development is driving rent growth in both markets.
Most notably, as activity at the major ports increases, rising transportation costs and access to labor are overshadowing rental rates as the top factors that companies consider in selecting space.
California’s proximity to manufacturers in Asia has made the Port of Los Angeles and nearby Port of Long Beach the dominant U.S. entry point, receiving 50 percent of all containerized goods shipped to the United States.
The Port of New York and New Jersey, by contrast, recognized the promise of larger ships passing through the Panama Canal as an opportunity to capture new business. ■