Imports at the nation’s largest
retail container ports should hit yet another record in August as consumer
demand continues to stretch supply chains and retailers shift from the
back-to-school season to the peak shipping season for winter holiday merchandise.
US
ports covered by the Global Port Tracker report, released by the National
Retail Federation (NRF) and Hackett Associates, handled 2.15m Twenty-Foot
Equivalent Units in June, the latest month for which final numbers are
available. That was down 7.8% from May but
up 33.7% from a year earlier when many stores were closed because of the
pandemic.
“ Back-to-school supplies have been hit by
the same supply chain disruptions and port congestion that have affected other
products this year, but retailers are working hard to ensure that school and
college goods are where they need to be,” says NRF vice president for supply
chain and customs policy Jonathan Gold. “Strong consumer demand has outpaced
supply chain operations since late last year and could remain a challenge as
the holidays approach. The continuing lack of labour, equipment and capacity
has highlighted systemic issues and the need to create a truly 21st century
supply chain to ensure resiliency against the next major disruption. Passage of
infrastructure legislation currently pending in Congress is a key step in that
direction. We need continued focus by the administration to help address these
issues as well.”
Ports have not reported July numbers yet, but Global
Port Tracker projected the month at 2.22m TEU, which would be up 15.7% from the
same time last year.
August is forecast at 2.37m TEU, which would be up
12.6% year-over-year and top May’s 2.33m TEU for the largest number of
containers imported during a single month since NRF began tracking imports in
2002. August is the beginning of the “peak season” when retailers stock up on
holiday merchandise each year. Many retailers are moving up their shipments
this year as part of their risk mitigation strategies to ensure that sufficient
inventory will be available during the holidays.
US retail cargo in September is forecast at 2.21m TEU,
up 4.9% year-over-year; October at 2.15m TEU, down 3% for the first
year-over-year decline since July 2020; November at 2.07m TEU, down 1.5%, and
December at 2.02m TEU, down 4.1%.
The first half of 2021 totalled 12.8m TEU, up 35.6%
from the same period last year. For the full year, 2021 is on track to total
25.9m TEU, up 17.5% over 2020 and a new annual record topping last year’s 22m.
US retail cargo imports during 2020 were up 1.9% over 2019 despite the
pandemic.
“ The strain of the continuing economic
expansion is putting considerable pressure on the logistics supply chain,” adds
Hackett Associates founder Ben Hackett said. “We’re seeing a lack of shipping
capacity combined with port congestion as vessels line up to discharge goods
from both Asia and Europe. Delays are stretching to landside as port terminals
struggle with space shortages, and labour challenges are affecting ports,
railroads and trucking companies alike. This part of the recovery is not a
pretty sight.” By Just Style