Imports at Long Beach Drop for First Time in ’99

For the first time this year, import totals at the Port of Long Beach, the nation’s busiest harbor, lagged in July behind year-ago figures, port officials said Monday. But they added that the next three months could break records as retailers stock up for the holiday sales season.

In fact, the neighboring Port of Los Angeles, the nation’s second-busiest, took in 20% more inbound cargo in July than a year ago, or nearly 30,000 more containers.

Los Angeles port spokesman Al Fierstine called the increase a sign that retailers already have begun stocking up for this year’s holiday season, which many predict will generate record sales.

Inbound cargo through Long Beach dropped by more than 10,000 20-foot cargo containers compared with the previous July, said Hal Hilliard, the port’s marketing manager.

Long Beach officials blamed the 5% decline partly on fears by U.S. importers such as Wal-Mart Stores Inc. and Best Buy Co. that unionized longshore workers would strike in July if they couldn’t reach a new contract with shipping lines. As a result, importers beefed up shipments in May and June and planned for a slow July, Hilliard said. The longshore workers have since agreed to a contract.

Export levels--which had been making a comeback earlier this year after 12 straight months of declines--fell in July for the second month in a row. The port handled 8% fewer outbound containers, or nearly 7,000 units, than it did a year ago.

Partly driving the decrease, Hilliard said, was a growing oversupply of wastepaper--the harbor’s top export--in Asia. Wastepaper is used to make corrugated boxes.

Exports through Los Angeles Harbor, meanwhile, rose 8% in July as rebounding Asian economies continue to push up demand for U.S. raw materials.