December 3, 2021
California ports delay planned fines for shipping containers amid 'improvement' in backlog

California ports delay planned fines for shipping containers amid ‘improvement’ in backlog

The Ports of Los Angeles and Lengthy Seaside have delayed a plan to impose charges on backlogged shipping containers that was set to take impact on Monday, citing progress clearing site visitors amid an ongoing provide chain crunch.

“There’s been significant improvement in clearing import containers from our docks in recent weeks,” Port of Los Angeles Government Director Gene Seroka stated in a press release. “I’m grateful to the many nodes of the supply chain, from shipping lines, marine terminals, trucks and cargo owners, for their increased collaborative efforts.”

Officers stated the ports have skilled “a decline of 26% combined in aging cargo” for the reason that payment was first unveiled on Oct. 25. The ports planned to cost ocean carriers $100 per container, with fines on containers transported by truck kicking in after remaining on website for 9 days and for containers transported by rail after six days.

Seroka added the ports “will continue to closely monitor the data as we approach November 22.” Officers say any charges collected by the fines can be reinvested in efforts to “enhance efficiency, accelerate cargo velocity and address congestion impacts.”

The Ports of Los Angeles and Lengthy Seaside had been a key component of President Biden’s plan to handle the provision chain disaster. A labor scarcity has contributed to a logjam at main ports that has resulted in shipping delays and shortages of key parts.

In October, Biden stated officers on the two ports agreed to shift to 24/7 operations to assist relieve the provision chain bottlenecks.

“We’re encouraged by the progress our supply chain partners have made in helping our terminals shed long-dwelling import containers. Clearly, everyone is working together to speed the movement of cargo and reduce the backlog of ships off the coast as quickly as possible,” stated Port of Lengthy Seaside Government Director Mario Cordero. “Postponing consideration of the fee provides more time, while keeping the focus on the results we need.”

The Port of Los Angeles famous the plan for potential fines was developed in coordination “with the Biden-Harris Supply Chain Disruptions Task Force, U.S. Department of Transportation, Port of Long Beach and multiple supply chain stakeholders.”

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