Despite a 12% increase in cargo from Asia to North America in 2024, dwell times at most major North American ports have stayed very low, indicating minimal congestion along the supply chain. Port managers have indicated optimism that terminals are well-prepared for the upcoming peak season.
In Vancouver, laden imports in June increased 13% year over year, yet rail average rail container dwell time dropped to 4.6 days, from 6.5 days in May. Likewise, dwell times for containers leaving Los Angeles-Long Beach marine terminals by rail fell to 4.73 days in June from 6.44 days in May.
Dwell times are a helpful indicator of capacity throughout the shipping industry, and most importantly, of the reliability of published transit times. The COVID pandemic normalized congestion at the ports, with containers often stuck at the port for multiple weeks, awaiting the next leg of their journey via trucks or rail. When capacity at terminals is over 90%, further inefficiencies are created and delivery times become uncertain.
Though indicators currently point to a generally stable environment, the possibility of a longshoremen strike along the U.S. East Coast in the coming weeks may put emphasis and strain on the western ports, increasing congestion. Businesses have been advised to plan for a work stoppage, redirecting shipments to ports not directly affected by the labour dispute. Please contact us at sales@canangroup.ca for support in navigating this situation.