U.S. Container Imports Set for New Record
August is expected to be the busiest month on record for imports at the U.S.’ major retail container ports.
Additionally, 2017 is on track to set a new annual high, according to the monthly Global Port Tracker report released on Wednesday by the National Retail Federation and Hackett Associates.
Ports covered by Global Port Tracker handled 1.69 million TEUs in June, the latest month for which after-the-fact numbers are available. That was down two percent from May but up 7.5 percent from June 2016. July was estimated at 1.72 million TEU, up 5.6 percent from the same time last year.
August is forecast at 1.75 million TEU, up 2.1 percent from last year. That would be the highest monthly volume recorded since NRF began tracking imports in 2000, topping the 1.73 million TEU seen in March 2015. The 1.7 million-plus numbers seen in May and July and now expected for August and October would represent four of the six busiest months since 2000.
September is forecast at 1.67 million TEU, up 4.7 percent from last year; October at 1.72 million TEU, up three percent; November at 1.62 million TEU, down 1.4 percent, and December at 1.59 million TEU, up 1.5 percent.
Those numbers would bring 2017 to a total of 19.7 million TEU, topping last year’s previous record of 18.8 million TEU by 4.9 percent. That compares with 2016’s 3.1 percent increase over 2015. While July numbers are not yet final, the first half of 2017 tentatively totaled 9.7 million TEU, up 7.4 percent from the same period in 2016.
The import numbers come as retail continues a long-term pattern of increased sales. Total retail sales have grown year-over-year every month since November 2009, and retail sales as calculated by NRF – excluding automobiles, gasoline stations and restaurants – have increased year-over-year in all but three months since the beginning of 2010. Retail employment, despite recent short-term fluctuations, has increased by 1.5 million jobs during the same period.
NRF has forecast that 2017 retail sales – excluding automobiles, gasoline and restaurants – will increase between 3.7 and 4.2 percent over 2016, driven by job and income growth coupled with low debt. Cargo volume does not correlate directly with sales because only the number of containers is counted, not the value of the cargo inside, but nonetheless provides a barometer of retailers’ expectations.
U.S. gross domestic product grew 2.6 percent in the second quarter of this year, more than double the 1.2 percent seen in the first quarter.
Global Port Tracker, which is produced for NRF by the consulting firm Hackett Associates, covers the U.S. ports of Los Angeles/Long Beach, Oakland, Seattle and Tacoma on the West Coast; New York/New Jersey, Hampton Roads, Charleston, Savannah, Port Everglades and Miami on the East Coast, and Houston on the Gulf Coast.