1/Why are @PortofLA & @portoflongbeach slowing down in Oct & Nov?

@mattschrap of @harbortruckers
hits it on the head with his assessment of the primary impediment at the 15:00 mark.

100,000+ EMPTY CONTAINERS IN THE PORTS.

bloomberg.com/news/videos/20…
2/Ocean shipping containers do not typically venture far from the harbors. What most people see on the roads and highways are not intermodal containers, but 40 or 53ft trailers. The material from overseas is offloaded at sites close to the port and repacked for delivery.
3/When you hear about a truck shortage, it is not one of trucks & drivers. For a truck to load, it has to bring a chassis to load a container on. Usually, it has an empty to return. As the terminals are full, there is little room to store them, making moving boxes slow.
4/This delay in offloading the empty & loading a full one means that drayage drivers who normally make 2-3 trips a day, are only making 1. Adding more trucks & drivers does nothing to alleviate this, but only adds to the congestion & pushes drivers away due to less pay.
5/So, what is the solution?

The answer is simple, but requires coordination.

1️⃣ Identify a large area near the ports that can be used as a temporary empty storage yard.

2️⃣ Route drivers to facility to offload, check-in w/boxes (waive detention fees) & clear their chassis.
6/ Continued

3️⃣Activate National Guard or Reserve unit to initially staff & equipment facility to offload and track empties. This can be phased over to contract operation concurrently.

4️⃣Less boxes in terminals & no need to offload chassis, the turnaround in ports will improve.
7/This will improve the throughput in the ports, but it will not help with the situation in the warehouses and distribution centers where the containers are going from the ports. They are at capacity, and working limited hours.

Action has to take place, simultaneously.
8/This is not new, as myself, @man_integrated and @typesfast have all advocated for actions similar to this.

We just need @POTUS @FMC_gov
@DOTMARAD @SecretaryPete @PortofLA @portoflongbeach to take notice and coodinate action.

10/@typesfast plan.

11/We Are Drowning in Empty Containers - @PortofLA & @portoflongbeach and How #Lego Has The Answer

@mattschrap @harbortruckers identified empty containers as the issue. We breakdown the discharge of ships, why empties are an issue & a proposed solution.

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More from @mercoglianos

Nov 7, 2024
1️⃣ Shipbuilding & Finance

The US builds 0.1% of the world's ships; China 51.0%.

The issues are not just economy of scale, but how the nation supports the sector in terms of corporation taxes, availability of financing, and depreciation of ships.

Shipbuilding is critical not just for the commercial sector but also the military; in terms of construction and repairs.Image
Image
2️⃣ International Freight

The only US-flag ships in international trade are receiving a stipend through the Maritime and Tanker Security Programs, along with military charters under US Transportation Command.

Most of these ships are owned by foreign companies with US subsidiaries, i.e. Maersk Lines, Limited, APL, or Hapag. Part of the building program should target to replace the foreign-built ships with US-built vessels.

The US can establish a tax discount program for Shippers that allows them to move cargo on US ships and earn tax discounts/rebates.

There also needs to be work with the Dept of Defense to provide priority escort to US ships in contested regions such as the Red Sea with the US covering war risk to incentive shipping on US flag ships.
3️⃣Coastal Shipping

Current law requires US-built, crewed, flagged, and owned (which is more restricted than trucks, rail, and air; but they still possess cabotage provisions).

There should be programs to promote short-sea shipping akin to the James River/I64 barge program.

However, the greatest hindrance to coastal shipping is the need to double-handle cargo in ports and the low cost of trucking vice shipping. What has historically undercut coastal shipping was the development of the Interstate highway and pipelines.

In some areas, we need to alleviate restrictions, such as a waiver to reflag LNG tankers into the fleet until domestic ships can be built.

A program needs to be developed to replace the aged Great Lakes fleet, the coastal tanker fleet, and ferry replacements (the Washington State system is in dire need).

Also, we need to see the application of infrastructure funds to improve the Mississippi system to make it more robust from seasonal issues (this is the 3rd year in a row that low water is hindering export of grain).
Read 6 tweets
Oct 2, 2024
1/Day 2 of the #PortStrike and a bit of background.

There is a lot of focus on the #ILA & their colorful president, but the issue of port efficiency is at the heart of the matter.

Moving containers through the terminals is key and a main point of the US Maritime Alliance. Image
2/The US Maritime Alliance (#USMX) consists of port associations, direct employers & shipping lines. The majority of the Board are foreign: Evergreen (Taiwan), ONE (Japan), CMA CGM (France), HAPAG (Germany), MSC (Switzerland), Maersk (Denmark), USA Ports (Canada) & COSCO (China).
Image
Image
3/The efficiency of US ports is not high.

The Container Port Performance Index rates 405 world ports. The 3 largest on the US East/Gulf Coasts are:

#99 @PortNYNJ
#327 @Port_Houston
#398 @GaPorts (Savannah) Image
Read 13 tweets
Aug 29, 2024
1/The latest video release by the #Houthis is just amazing.

This was filmed after the large three explosions set off at night, as indicated by the fires on deck, and the recent photos by @EUNAVFORASPIDES as the bridge is still intact in this video. Image
2/This was the original video shown by the #Houthis and has three large explosions on deck.

It is believed that they removed some of the manhole covers on the main deck to start the fires off the cargo tanks.
3/This image from the new video shows the ship on fire via those ports.

Not the extent of damage is not as extensive as we see in the later @EUNAVFOR photos and the bridge is intact.

Image
Image
Image
Read 10 tweets
Aug 25, 2024
1/The latest report that @USNavy @MSCSealift should not be a surprise. This is an issue 40 years in the making.

Navy to sideline 17 vessels due to manpower shortage, operating crews will be redistributed: report

#FoxNewsfoxnews.com/us/navy-sideli…
2/Back in 2019, I penned a piece for @USNIProceedings @USNavyCNO History Essay Contest that asked the question... Image
3/The reduction in the US merchant marine has been an epic decline from the #1 fleet in the world after the Second World to #21 today.

There are a host of factors but on this specific issue, there are a few that standout.

Read 19 tweets
Jul 19, 2024
1/It is time to discuss a Tale of Two Carriers, @usnavy @CENTCOM Edition.

The @DeptofDefense just showcased the return of the @TheCVN69 strike group and the award of the Combat Action Ribbon to the ships (although they omitted the ships of the @MSCSealift.) Image
2/At the time of the #Houthi attacks on shipping, USS Ford Carrier Strike Group was in Med and IKE was in the Persian Gulf, with the destroyer USS Carney making its dramatic appearance by shooting down missiles and drones heading to Israel.

3/With the #Houthi seizure of MV Galaxy Leader (they still hold the ship and crew hostage), @CMF_Bahrain allocated reinforcements to plus up CTF 153 in the Red Sea and initiated Operation Prosperity Guardian.

combinedmaritimeforces.com/ctf-153-red-se…
Read 25 tweets
Jul 13, 2024
1/I have been receiving a great deal of info on the #GazaPier and this is what I have been able to put together

1️⃣Weather was a major factor. A Sea State 5 storm necessitated the crews to evacuate to Benavidez and locally hired tugs. The offshore pier broke loose.
It took 5 hours to chase down the RRDF platform after it drifted 2 miles off.

2️⃣ Much of the equipment had not been fixed or refurbished from Exercise Talisman Saber 23. There was a dry run before the execution of Gaza and took 3 days. The test found deficiencies in the LSVs.
3️⃣ Most of the NCOs had little hands-on experience with the system beyond ops to resupply McMurdo Station since the cutback in the Army Watercraft program. Additionally, the Army Causeway Company lacks Warrant Officers. Many mid & junior officers lack similar knowledge.
Read 7 tweets

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