LA, Long Beach target “ugly danger” of containers left near ports as supply crisis drags on

As shipping delays and cargo accumulate in Los Angeles County ports, local officials are tightening rules on , part of efforts to reduce congestion of cargo ships anchored off the coast of Southern California.

From November 1, carriers will charge $ 100 per container, with the fee increasing by $ 100 per container per day, but the fee will not be assessed until November 15.

The collected fees will be reinvested by ports in programs to increase efficiency and deal with congestion, the statement said.

“This is not meant as a transfer cost, but is meant as a‘ move cargo ’,” Mario Cordero, Long Beach Port CEO, told a news conference on Wednesday. In an effort to ease congestion, Long Beach pledge of cargo in ports.

The global supply chain crisis has increased the need for local ports to make room for cargo with a bottleneck. “There is a shortage of space at the terminals. We need to make room in our terminals, about 530,000 container units are sitting on these waiting ships, ”Cordero added.

In response, the Port of Los Angeles and Long Beach announced days ago that ocean carriers will be charged for each container that exceeds a visit to the port complex: nine days or more if they move it by truck, and three days or more if they move. by rail.

Cordero said “30 to 40% of cargo at sea terminals is there for more than 9 days.”

“We’re trying to protect our own”

The sign prevents trucks from entering Wilmington, near a key port in Long Beach. The port was one of two backward hubs in Southern California at the center of a growing supply chain crisis.

Meanwhile, a lack of container space has caused a major bottleneck in Southern California ports. Empty containers pile up on trucks, outside warehouses – and some are even dumped on the road.

Truckers, however, insist that this is due to the port crisis and not their negligence.

“They’re on the streets because no one is receiving,” Carlos Rameriz, a truck driver, said in an interview with Yahoo Finance.

Drivers don’t care. They just drop him on the street. There are a bunch of empty containers on Washington Street because [ports] they have nowhere to put them and they get tickets, I don’t know who pays for the tickets, “Rameriz added.

Some of these empty containers sit on the chassis because there is no other space as Rameriz described. There are traffic jams too trailers because there was unloading of containers from ships .

This has become a vicious circle as a flood of imports continues to flood the besieged ports of Southern California ahead of the holidays. And with spills in ports, containers find their way to residential streets.

Uncontrolled chassis flooded a street in Wilmington, near a key port in Long Beach.  The port was one of two backward hubs in Southern California at the center of a growing supply chain crisis.

Uncontrolled chassis flooded a street in Wilmington, near a key port in Long Beach. The port was one of two backward hubs in Southern California at the center of a growing supply chain crisis.

The cause was one accident in particular after a shipping container flattened the car after falling from a truck. No one was injured, but it happened in Wilmington, near the port of Los Angeles, where ocean congestion is causing a similar effect on the streets.

“It’s a very ugly danger,” Wilmington resident Vivian Martinez told Yahoo Finance.

Residents living near the ports complained about container encroachments and how trucks were constantly supported on the streets even before Long Beach eased its zoning rules.

“They won’t park here. We do not allow. If they try to get here, I’ll go out with the trash can or our cars, [it makes] The truck goes all the way back, ”Martinez said.

Residents like Martinez have had enough of this long-standing problem that has exploded since the pandemic. Some have put up barriers at both ends of the street with signs saying “Trucks are forbidden” – the last chapter in a crisis that stems in part from unintended consequences. .

“We’re trying to protect our own,” Martinez added.

Officials responded to these concerns by repressing companies for stacking containers in violation of local area laws.

“The prosecution has issued more than 400 allegations for illegally parked container trucks,” LA City Council member Joe Buscaino told Yahoo Finance.

“My office is actively working with the Port of Los Angeles to identify profitable plots of land owned by the port in industrial container storage areas and carrying out truck transport away from neighboring residential areas,” Buscaino added.

Buscaino noted that he has achieved some success in identifying packages, and his next step is to identify an operator who can facilitate the organization of the containers being processed at these new locations.

This follows an executive order from Governor Gavin Newsom aimed at reducing the backlog. He instructed state agencies to look for state-owned real estate that could temporarily store goods coming into ports.

Newsom has asked the State Department of General Services to review potential sites by Dec. 15, but it’s still unclear whether LA will follow Long Beach’s example in loosening container stacking rules.

Dani Romero is a reporter for Yahoo Finance. Follow her on Twitter: @daniromerotv

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