Port Congestion Cause in a Nutshell
Bill Mongelluzzo, Senior Editor of the Journal of Commerce, discusses the infamous Port Congestion Problem. He goes on to say that it started last winter in the Eastern USA, which started a chain reaction in intermodal missing schedules and containers backing up at Long Beach. Then the steamship carriers made a change and sold their chassis equipment to the leasing companies who were not set up for the transition. As a result, the chassis were scattered throughout the entire harbor, which reduced the truck capacity at the terminals. Furthermore, the ILWU-PMA contract negotiations, which didn’t meet their deadline also slowed down processes at the Port of LA/Long Beach.