October 22, 2024

Rail Dwells Hit Two-Year High at LA-LB Ports Amid Record Imports – Here’s How to Keep Your Shipments Moving

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Rail container dwell times at the Los Angeles—Long Beach ports reached a two-year high in September due to record import volumes from Asia. This surge was also driven by diverted cargo from East and Gulf ports during longshore strikes. In just one month, the ports handled 874,730 TEUs (twenty-foot equivalent units), pushing rail container dwell times to an average of 9.25 days. For many businesses, this means delayed shipments and potential extra costs.

The current backlog at the Port of Los Angeles is particularly challenging, with availability times extending 8+ days and rail transfers taking 14+ days on average. In some cases, rail transfers experience delays of 30+ days. This congestion is expected to continue through December, so it’s crucial to plan, especially for time-sensitive shipments. If your product is on a time-concerned timeline, now is the time to make the necessary adjustments.

When containers sit at the port too long, they can incur demurrage fees (fees for overstaying at the terminal) or detention fees (fees for not returning the container on time). These additional costs add up quickly and can strain your logistics budget.

To avoid delays and additional costs, we recommend considering direct drayage and transloading services:

  • Direct Drayage moves your cargo directly from the port to its destination, bypassing the rail delays altogether. This solution keeps your shipments moving smoothly and avoids congestion.
  • Transloading allows goods to be quickly transferred from ocean containers to trucks or other transport, providing flexibility and faster turnaround times.

Moreover, you might be surprised at how cost– and time-effective these options can be, especially compared to traditional rail shipments.

Early termination is another option for shipments already on the rail that helps reduce delays by transferring containers to trucks earlier in the journey. However, it is essential to note that some ports do not allow early termination within five days of arrival. Our team is here to help.

With the holiday season upon us and these disruptions expected to persist through December, adjusting your logistics strategy now will help ensure your supply chain stays efficient and flexible. Our team is here to help. Reach out today to learn more about the tailored solutions we can offer to keep your goods moving smoothly and on time.