Imports Drop in June at Ports of Long Beach, Los Angeles

Imports to the ports of Los Angeles and Long Beach, the nation’s two largest seaports by cargo volume, fell in June compared with a year earlier, as sluggish demand damped orders from overseas.

A report Monday found that inbound shipments to the two ports declined 4.3% to 505,500 containers from 528,100 a year earlier. Exports fell to 160,500 containers, a 6.2% decline from the 171,100 shipped out a year earlier.

“For a time it was being slowed by [the conflict with] Iraq and uncertainty about how that was going to affect the economy,” said Art Wong, a spokesman for the Port of Long Beach. “I don’t see a lot of real strong indications in the economy that things are bouncing back.”

Shipments last year were unusually high because of concerns that a labor dispute would slow cargo movements, Wong said. As a result, the 2003 data look weaker by comparison.

“Last year at this time was just ahead of the contract deadline” for the International Longshore and Warehouse Union, Wong said, “and into the summer, importers were rushing shipments to try and beat a possible strike.”

Union members were locked out by employers for 10 days last September and October in a contract dispute. Dockworkers returned after the federal government intervened, and the union approved a new contract in January.

Despite the drop in cargo volume last month, some economists say they expect international trade to be a positive force in California’s economy this year. Exporters in the state could benefit from the weaker U.S. dollar and economic recovery abroad, according to analysts at the Los Angeles County Economic Development Corp.

In June, however, the volume exported fell at both ports in the Los Angeles area, as measured by the number of containers.

Importers brought 204,300 containers into the Port of Long Beach last month, 14% fewer than the 236,100 of a year earlier. Imports through the Port of Los Angeles, the No. 1 U.S. port, rose 3.2% to 301,200 of the 20-foot containers from 292,000 in July 2002.

At the Port of Los Angeles, exports fell 6% to 89,500 containers in June from 95,300 a year earlier. Outbound shipments from the Port of Long Beach declined 6.3% to 71,000, from 75,800 in June 2002.

The number of empty containers shipped from Long Beach rose 3.9% to 111,200 containers in June from 107,100 a year earlier. Exports of empties from Los Angeles jumped 16% to 173,100 containers from 149,200 in June 2002.