Maritime Report

January 30, 2019

APM Terminals working to relieve coast-to-coast U.S. backlogs


Maersk’s APM Terminals unit says it is working to relieve the high backlog of containers that are at its two largest marine terminals in North America. The news comes as shipping lines continue to warn customers and drayage drivers to expect delays when entering terminals in Los Angeles and New Jersey.

27 ships with petrol, others to berth in Apapa, Delta ports

France’s CMA CGM warned this week that “ports in Southern California have been inundated by high volumes, causing congestion, limited storage space, equipment shortages, and slower container movements.” STG Logistics has also warned about an “unprecedented uptick in import volumes into the port of NY/NJ.”

As one of the biggest tenants at both ports, APM Terminals has been severely affected by the congestion, which has been brought on by pre-tariff front loading by shippers. “The challenge has been handling all that extra volume at once,” said APM spokesman Tom Boyd. “It’s been busy ever since Thanksgiving.” The New Jersey terminal is also being hit by ships missing their berth windows due to North Atlantic weather.

Utilization on both coasts has been at 90 percent, which is above the 75 percent utilization that is more typical. “So that’s really packed and its harder to get at boxes and traffic flows are impacted,” Boyd added. APM plans to add more top loaders to its New Jersey terminal so containers can be placed on trucks more quickly.

ALSO READ: Five Star terminal to acquire more cargo handling equipment

APM says it plans to extend open hours at its New Jersey terminal this Saturday to 1300 hours from 1000 hours. “Where we feel there’s demand, we’ll do it,” Boyd said. But the delays are also being compounded by a shortage of Customs and Border Protection officers who are working without pay due to the government shutdown. “We are in perfect storm right now,” Boyd said. “We are working very hard to get the truckers out faster because the drivers are facing longer turn times than they are used to.”