Low production in China has impacted the volumes for incoming cargo in Los Angeles and Long Beach, California. Shipments from China account for around half of the incoming cargo for these two ports.
Imports dropped by 17.9pc in the Port of Long Beach in Feb 2020 compared to Feb 2019 because of the COVID-19 virus and US-China tariff disputes, according to media reports.
The Port of Los Angeles also reported a 23pc decrease in cargo volumes in Feb 2020 compared to the same month last year.
Long Beach port indicated that around $370bn in Chinese goods remain under increased tariffs and COVID-19 added to supply chain disruptions during the month by causing increased marine cancelations and reduced cargo moving through the port.
The Long Beach port reported terminal operators and dockworkers moved 9.8pc less TEU’s (20-foot equivalent container units) in Feb 2020 compared to last year. Exports from the port however, rose 19.3pc and empty containers sent overseas dropped 12.8pc.
The two California ports are experiencing cancelations by shipping lines resulting from factory closures and reduced movement of goods from China and other Asian countries impacted by COVID-19. However, when the virus is contained, the ports expect a flow of cargo, and are prepared to handle it, according to media reports.