TRUCKING costs could hurt US president Joe Biden's off-site container storage plan, reports New York's FreightWaves.
Federal transportation officials stated developing a strategy to clear congested US container ports by using more off-site space must consider potential added costs related to trucking.
The plan was included in the Ocean Shipping Reform Act of 2022 to assess how it could be rolled out on a larger scale.
The act was signed into law in June by President Joe Biden and required the US Department of Transportation to convene a meeting with the US Maritime Administration (MarAd) and the US Federal Maritime Commission (FMC) on the use of federal and other sites.
'While no port wants to have containers idling for excessive periods, moving certain containers inland via rail, barge, or other means can reduce the number of containers waiting for drayage and subsequently reduce truck and chassis congestion at the seaport itself,' said American Association of Port Authorities (PA) CEO Chris Connor.
'In that regard, inland ports are a helpful tool in the arsenal of methods ports can use to maintain fluidity.'
The South Carolina Ports Authority (SCPA) highlighted that it operated two inland ports for 13 years that have moved exports and imports to its southeastern US seaports by rail.
However, although more traditional cargo and storage and transfer yards located closer to the port can improve supply chain fluidity, 'they generally require second re-handles and inefficient routings to move the cargo', said SCPA.
'Additional truck drivers, newer and more voluminous chassis fleets, and enhanced logistic information exchange capabilities are also necessary, but unless they are provided in a cost-competitive manner, they would not be prioritised over new space utilisation.'
Said Yang Ming Marine Transport: 'If the use of an inland port is comparably more costly and time-consuming than storing at the port terminal, and with the possible trucker shortage/supply issue still not resolved, it'll be challenging or even difficult to support it long term.'
The Port of Houston executive director Roger Guenther declared his port is vulnerable to the shortfall in available drivers.
'Adding additional miles and hours to their trips, along with increasing the demand for new drivers, must be weighed against the proposed benefits,' said Mr Guenther.
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Federal transportation officials stated developing a strategy to clear congested US container ports by using more off-site space must consider potential added costs related to trucking.
The plan was included in the Ocean Shipping Reform Act of 2022 to assess how it could be rolled out on a larger scale.
The act was signed into law in June by President Joe Biden and required the US Department of Transportation to convene a meeting with the US Maritime Administration (MarAd) and the US Federal Maritime Commission (FMC) on the use of federal and other sites.
'While no port wants to have containers idling for excessive periods, moving certain containers inland via rail, barge, or other means can reduce the number of containers waiting for drayage and subsequently reduce truck and chassis congestion at the seaport itself,' said American Association of Port Authorities (PA) CEO Chris Connor.
'In that regard, inland ports are a helpful tool in the arsenal of methods ports can use to maintain fluidity.'
The South Carolina Ports Authority (SCPA) highlighted that it operated two inland ports for 13 years that have moved exports and imports to its southeastern US seaports by rail.
However, although more traditional cargo and storage and transfer yards located closer to the port can improve supply chain fluidity, 'they generally require second re-handles and inefficient routings to move the cargo', said SCPA.
'Additional truck drivers, newer and more voluminous chassis fleets, and enhanced logistic information exchange capabilities are also necessary, but unless they are provided in a cost-competitive manner, they would not be prioritised over new space utilisation.'
Said Yang Ming Marine Transport: 'If the use of an inland port is comparably more costly and time-consuming than storing at the port terminal, and with the possible trucker shortage/supply issue still not resolved, it'll be challenging or even difficult to support it long term.'
The Port of Houston executive director Roger Guenther declared his port is vulnerable to the shortfall in available drivers.
'Adding additional miles and hours to their trips, along with increasing the demand for new drivers, must be weighed against the proposed benefits,' said Mr Guenther.
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