Christmas saved from supply chain bottle. Next challenge: New Year’s Month

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Christmas saved from supply chain bottle.  Next challenge: New Year's Month

Local lawmakers and port officials accompanying U.S. Transportation Secretary Pete Buttigieg at the Port of Long Beach on Tuesday acknowledged enduring problems with the shipping, unloading and delivery of goods across the country, including the challenge of getting the local ports — a major chokepoint — to operate around-the-clock.

The wave of cargo ships carrying goods to U.S. consumers is expected to reach California in the next two or three weeks, port officials said.

The supply-chain crisis is not over, Gene Seroka, executive director of the Port of Los Angeles, said while touring the Long Beach port with Buttigieg.

On Tuesday, as Buttigieg praised local officials for moves that eased bottlenecks around the holiday period, 60 cargo ships idled offshore near the Long Beach port, waiting for their turn to dock.

Story Highlights

  • The supply-chain nightmare didn’t cancel Christmas, but another holiday crisis is looming: the Lunar New Year.

  • And though one holiday crisis appears to have been averted, a fresh surge of cargo from Chinese manufacturers is expected to flood U.S. ports before Chinese businesses close up to celebrate the year of the tiger starting Feb 1.

“No one is taking a victory lap,” he said in an interview. “No one is high-fiving each other.”

A key hurdle: Officials have been unable to get the Los Angeles port to operate around-the-clock, as planned and announced in October under a Biden administration strategy to address the supply-chain crisis ahead of the holiday period.

Under the plan, the port expects to nearly double the number of hours that cargo moves off container ships and onto highways by having crews work through the night, with members of the International Longshore and Warehouse Union filling the extra shifts. But Seroka said the effort has been hampered because most elements of the supply chain — including warehouse operators and truck drivers — don’t operate 24 hours a day, making it difficult to accept cargo at the ports in the middle of the night when workers aren’t available to receive the products. Making matters worse, he said, is a shortage of truck drivers and warehouse workers since the start of the pandemic.

Story continues “It’s the private sector that needs to drive this,” he said.

Buttigieg also acknowledged more work was needed to resolve the supply-chain problem. In an interview with The Times, he said the ports needed more funding to modernize their facilities and adjacent rail lines and roads to ease bottlenecks during the next cargo surge.

Once goods began to arrive by sea at a record pace, the ports were inundated and unable to unload and distribute cargo fast enough. The Biden administration, port officials and others took several steps to ease the backlog, including imposing fines on shippers who left cargo containers clogging the docks and devising a plan to operate the ports 24 hours a day, seven days a week. Together the two sprawling ports are responsible for handling nearly half of all imports into the United States, making them a key part of logistical networks strained by the coronavirus crisis.

Buttigieg visited the ports of Los Angeles and Long Beach for an update on remedies to the supply-chain problem, which stemmed from COVID-19 outbreaks that forced the closure of many manufacturers and ports in Asia that were later slow to ramp back up to meet rebounding U.S. demand. “We’ve got to be ready for the unexpected,” he said.