U.S. intermodal rail shipments in the week ending May 12 rose 3 percent year-over-year and was nearly flat from the previous week, according to the Association of American Railroads.  Carload volume fell 5.2 percent year-over-year and was down 1 percent from the week before. Shipments of grain, coal and non-metallic minerals fell on a double-digit basis from the same period a year ago.  For the first 19 weeks of 2012, intermodal traffic rose 2.8 percent from the same period a year ago; carload traffic declined 3.3 percent in the same period.  Canadian intermodal volume in the week ending May 12 expanded 7.2 percent year-over-year, and carload volume rose 3.4 percent in the same period. So far this year, Canadian intermodal volume is up 7.9 percent year-over-year, and carload traffic rose 4.7 percent.  Mexican intermodal volume last week jumped 16.2 percent year-over-year, and carload traffic rose 6.2 percent in the same period. In the first 19 weeks of 2012, intermodal traffic rose 22.1 percent from the same period in 2011, but carload volume fell 4.1 percent in the same period.

 

Long Beach Begins Construction of Middle Harbor Project - 

The Port of Long Beach launched construction of its $1.2 billion Middle Harbor project, which the port and Orient Overseas Container Line say will be the most automated container terminal in North America.  "What we speak of today is a collective vision, a vision to make the Port of Long Beach one of the world's most competitive ports," Philip Chow, OOCL's chief executive, said Monday.  Middle Harbor will feature tandem dual-hoist cranes capable of lifting two 40-foot containers simultaneously. The terminal will include an automated movement of containers from the wharf to the waterside end of stacks positioned perpendicular to the vessel, and the movement of containers within the stacks and to the gate-side end by automated stacking cranes.  The project will combine two older facilities - the Long Beach Container Terminal facility and a nearby, vacated site - into one large 304-acre container terminal. It will be developed in phases over the next eight years.  Last month in Hong Kong, representatives of the port and OOCL signed a 40-year, $4.6 billion agreement for Middle Harbor. The terminal at full build-out will have an annual capacity of more than 3 million 20-foot container units.

 

LA - LGB Imports Rose 8% in April -

Loaded containers moving through the Los Angeles-Long Beach port complex increased 4 percent in April over April 2011, with imports up 8 percent year-over-year. Containerized exports at the nation's largest port complex declined, however, by 2 percent compared to April 2011.

April's numbers for loaded containers at the neighboring ports tell a different story when Los Angeles is compared to Long Beach. Los Angeles had the busiest April in its history. Imports were up 16.7 percent, exports increased 11.5 percent and total loaded containers in Los Angeles were up 14.9 percent from April 2011.  The container volumes in Long Beach were down, with imports declining 13.8 percent, exports down 16.2 percent and total volume down 13 percent.  The difference is easy to explain, as last year Hyundai Merchant Marine and its terminal operator, California United Terminals, moved from Long Beach to Los Angeles. As a result, Los Angeles' numbers this year have been running much higher than last year, while Long Beach's numbers have been lower.  However, the increased container volume at the Los Angeles-Long Beach port complex in April is a positive development, especially with the ports' combined imports up 8 percent.  The first quarter of 2012 ran true to form for what is happening in the trans-Pacific trade. January was a strong month for imports as U.S. importers accelerated their shipments before factories in Asia closed for two weeks in February for the Chinese New Year.  Predictably, February was a weak month, with declining imports, and March saw a return to increased imports. With the trade back to its normal cyclical flow in April, there were questions as to whether U.S. imports would increase or decrease compared to April 2011.  With Los Angeles-Long Beach accounting for about 40 percent of U.S. imports from Asia, the 8 percent increase in imports in April indicates 2012 could be a good year for retailers and carriers in the eastbound Pacific.

 

Virginia Container Throughput Climbs 5.2% - 

The container volume handled by the Port of Virginia increased 5.2 percent year-over-year in April, to 169,644 20-foot equivalent units. The April volume was also almost 3,000 TEUs higher than the 166,719 TEUs that moved through the port in March.  For the year to date, the port's volume increased 2.2 percent to 647,713 TEUs, compared to 633,919 TEUs in the same period last year.  The port's breakbulk tonnage increased 2.7 percent in April to 33,867 tons from a year earlier. For the year to date breakbulk tonnage was 128,254 tons, compared to 107,546 tons for the same period last year.

Total rail containers handled in April were 29,823, a 19.8 percent increase when compared with last April. The year-to-date rail containers total is 115,573 vs. 104,383 for the same period last year, an increase of 10.7 percent.   The number of containers moved between the Port of Richmond and Hampton Roads Harbor on the 64 Express barge service increased 27.7 percent in April; the month's total was 755 containers. The year-to-date total for the barge service increased by 85.2 percent to 2,975 containers, compared to 1,601 containers handled during the same period in 2011.

 

NYK Ends Free Chassis in Pacific Northwest - 

NYK Line (North America) said it would quit providing chassis to customers in the Tacoma-Seattle-Portland market, effective July 1.  The Pacific Northwest ports are the latest in which NYK said it would no longer provide chassis.

During the last four years, most major container ship lines have announced they will cease providing chassis in some or all of the markets they serve.  As ocean carriers have reduced their direct involvement in providing chassis directly to shippers, leasing companies and other third parties have stepped up their programs for rental of chassis to truckers.

 

TSA to Begin 100% Global Air Cargo Screening in December -

The Transportation Security Administration will begin screening all cargo arriving from international passenger flights in early December, a year after the agency was tasked to expand its screening reach from the domestic to global scale.   "Harmonizing security efforts with our international and industry partners is a vital step in securing the global supply chain," said TSA Administrator John Pistole. "By making greater use of intelligence, TSA can strengthen screening processes and ensure the screening of all cargo shipments without impeding the flow of commerce."  The TSA said Monday it will begin 100 percent screening on Dec. 3. The agency said operations will choose screening approaches on a per-shipment basis, allowing lower risk cargo to be scanned faster and save shippers money.  In 2007, a Democratic-controlled Congress gave the TSA until August 2012 to screen all international cargo arriving on passenger flights. After officials in October 2010 intercepted packages from Yemen that contained concealed explosives, Pistole told lawmakers international supply chains would be secure by the end of 2011, but international security has been much more difficult to achieve.   Internationally, the TSA is working to synchronize its security requirements with other nations' through a series of mutual recognition agreements. At home, the agency is working closely with Customs and Border Protection to adopt risk-based screening techniques to air cargo.