Imports Grow Ahead Of Back-To-School, Holiday Season
As they have in recent months, inbound cargo volume at major ports in the U.S. continues to rise, according to the latest Global Port Tracker from the National Retail Federation (NRF) and Hackett Associates.
U.S. ports covered by the report handled 2.08 million Twenty-Foot Equivalent Units – one 20-foot container or its equivalent – in May, the latest month for which final numbers are available. That was up 3% from April and up 7.5% year-over-year, and was the highest number since 2.26 million TEU in August 2022. (The total includes estimates for the ports of New York and New Jersey, which have not reported TEU counts for May.)
“We’re experiencing the strongest surge in volume we’ve seen in two years, and that’s a good sign for what retailers expect in sales,” said Jonathan Gold, vice president for Supply Chain and Customs Policy with the NRF. “Consumers can rest assured that retailers will be well-stocked and ready to meet demand as we head into the back-to-school and holiday seasons.”
Ports have not yet reported June’s numbers, but Global Port Tracker projected that volume rose to 2.1 million TEU, up 14.5% year-over-year. July is forecast at 2.21 million TEU, up 15.5% year-over-year; August at 2.22 million TEU, up 13.5%; September at 2.1 million TEU, up 3.5%; October at 2.05 million TEU, down 0.5%, and November at 1.96 million TEU, up 3.5%.
The first half of 2024 is expected to total 12.04 million TEU, up 14.4% from the same period last year. Imports during 2023 totaled 22.3 million TEU, down 12.8% from 2022.
While import levels remain strong heading into the back half of 2024, there is some concern about challenges on the horizon. These include high shipping rates and negotiations between the ports and unions.
“Lulls between supply chain challenges seldom last long, and importers are currently looking at issues including high shipping rates, unresolved port labor negotiations and continuing capacity and congestion issues from the ongoing disruptions in the Red Sea,” said Gold.
