Railroad cargo backups threaten new logjam -Los Angeles port chief
2022.07.13 21:06
FILE PHOTO: Shipping containers are unloaded from a ship at a container terminal at the Port of Long Beach-Port of Los Angeles complex, in Los Angeles, California, U.S., April 7, 2021. REUTERS/Lucy Nicholson/File Photo
LOS ANGELES (Reuters) – Railroads and importers must remove cargo that is stacking up at the nation’s busiest seaport to avoid worsening supply chain congestion, Los Angeles Port Executive Director Gene Seroka said on Wednesday.
“We must take action on this issue immediately to avoid a nationwide logjam,” Seroka said in a media call.
More than 29,000 rail containers are sitting on the docks at Southern California port. That number should not be more than 9,000, Seroka said.
Major U.S. railroads that serve the Port of Los Angeles, including Union Pacific (NYSE:UNP) and Berkshire Hathaway-owned BNSF, slashed jobs and mothballed equipment before pandemic-fueled demand overwhelmed the nation’s transportation systems.
That led to container backups at inland rail yards, which then rippled to seaports on the Pacific, Atlantic and Gulf coasts.
