Port of LA’s June TEU traffic smashes previous records


Good morning! National Hot Dog Day is afoot. 🌭 Celebrate, we must.

Nearly 877,000 TEUs of containers passed through the Port of Los Angeles in June 2022, making it the busiest June of all time for the major port. This knocked June of 2021 from the top spot. Executive Director of the port, Gene Seroka, is pointing to American consumers’ spending habits on goods, which seem to be unfettered… regardless of a 9.1% inflation rate and serious concerns of a looming recession.

Check out today’s featured article from Supply Chain Dive to read about the Port of Los Angeles's massive inflow of products over the month of June and what it spells out about American consumers, the economy, and the strength of the supply chain. ☕️

Men wearing grey crewneck t-shirt and red sunglasses throws up a "rock on" Hand gesture and smiles, while holding a giant sticker of a medal. Another wearing a black crewneck t-shirt and green sunglasses jumps up and down excitedly and holds up a tro

Excited New Record GIF By StickerGiant via GIPHY


Featured Article:

Empty containers buoy Port of Los Angeles cargo volumes to June record | Supply Chain Dive

“Despite inflation and recession concerns, the results show “Americans are still spending on goods,” Executive Director Gene Seroka said.”

READ THE ENTIRE SUPPLY CHAIN DIVE ARTICLE HERE

Water Cooler Topics

🚂 With the threat of a railroad worker strike, President Biden created an emergency board to help facilitate ongoing talks between the freight railroads and rail labor organizations. Industry organizations such as The National Retail Federation (NRF), the American Trucking Associations (ATA), and the Association of American Railroads (AAR) are all praising the move, hoping that it will keep a strike at bay. Avoiding unnecessary disruptions to the movement of freight is key to keeping the supply chain flowing, according to leading industry experts. Currently, railroaders earn $135,000 annually on average, in total pay and benefits.

👗 The fashion industry boats a surprising statistic: 98% of garments get thrown into landfills. The industry, which has long-utilized a traditional model of the supply chain of “making, using, and then throwing away”, is now evolving. Adopting what is being coined a “circular approach” will lead the world’s second-dirtiest industry (second only to gas and oil) down a path of better sustainability.

👩 With only 8% of professional truck drivers being women and only 4% of all diesel technicians being women, the American Trucking Associations (ATA) is looking to change that. The ATA is launching a new program called “Women in Motion (WIM)” - designed to highlight the achievements of women in the trucking industry and hopefully encourage more women to consider developing a trucking career. The ATA says that the program will also put a major focus on the issue women face on the road and address common issues within regulatory lines that specifically affect women in trucking.


The American Trucking Associations is under fire for “opposing overtime pay for drivers” via lobbying

In April 2022, The House of Representatives introduced The Guaranteeing Overtime for Truckers Act to Congress - a bill that would eliminate the trucking exemption from the 1938 Fair Labor Standards Act. The American Trucking Association has quietly funded a campaign that consisted of a two-page flyer in congressional offices, arguing against the bill. Some advocates of the bill are seething over this move.

The American Trucking Association, often considered synonymous with “big trucking”, has not taken any media interviews or made any press release regarding the bill publicly.

Read more from Landline Media ▶


Leadership 🏆

The Best Supply Chain Company You Have Never Heard Of - Logistics Viewpoints

“Ferguson PLC, value added distributor of plumbing and heating products, came out with their third quarter results on June 14th.”

Standard Logistics Doubles in Size Over Last Year, With Strong Focus on Drivers and Customers - Finance.Yahoo

“Standard Logistics, a leading fleet and logistics provider and a Standard Industries company, has doubled the size of its business in the last twelve months, now utilizing over 300 drivers across 17 locations.”

Greater Louisville earns top spot as national logistics hub - Lane report

“For the second year in a row, Business Facilities Magazine named the Louisville MSA third in its Top 10 list of global and metro logistics hubs.”

Beyond Gravity’s new Chief Procurement Officer and Logistics brings her expertise - SatNews

“On November 1, 2022, Jingyuan Sun will take over as the new Chief Procurement Officer (CPO) for Space and Group Procurement as well as Logistics at Beyond Gravity, the space supplier, across 12 locations and six countries worldwide.”

FedEx Express’ Bolduc Looks to Turn Back the Clock | Transport Topics

“Every honest driver who competes at the National Truck Driving Championships strives for victory.”


Ports 🚢

Advanced access-control system helps seaport keep trucks rolling | DC Velocity

“Integrated surveillance and control technology eases truck congestion and boosts security at Brazil’s Port of Suape.”


Industry Forecast 📊

Freight index shows fuel surcharges, seasonal factors prop up Q3 transportation costs - Supply Chain Management Review

“As demand softens and shippers take action to mitigate exposure to high costs, the July Cowen/AFS Index predicts moderate-to-declining quarter-over-quarter growth rates across modes, though year-over-year trends indicate sustained strength.”

Supply Chain Weekly Wrap-Up 07/08/2022-07/14/2022

“In recent times, beer makers have struggled to source cans and glass bottles for their products, but now, robust demand is causing further issues for the industry.”

Demand drives 3PLs to the best growth and M&A year on record - Supply Chain Management Review

“The market favored 3PLs with strong carrier management, e-commerce and air freight forwarding capabilities.”

2022 Trailer Trends: Slow Grind For Tech Adoption - Equipment - Trucking Info

“There’s no doubt that an ongoing, and accelerating, technology wave has been overtaking trucking.'"

Trailer orders take summer dip | Fleet Owner

“Fleets can expect unofficial commitments for next year's orders to to be formally booked as 2023 production slots begin in September.”

Trucking Faces Pressure to Prepare for Holidays Early | Transport Topics

“Supply chain pressures are forcing trucking to get an early start to the holiday shipping season despite a shift of underlying conditions within the industry.”


Claims 📝

Supply Chain News: In a Second Momentous Decision in this Summer, Supreme Court Lets Stand Damages Liability for CH Robinson | SC Digest

“Most to the media coverage on the US Supreme Court and logistics matters focused on the Court’s recent decision to let stand California’s AB 5 law, which enacted a three-part test that makes it almost impossible for a truck driver to now be classified as a contract employee in the Golden state.”


Fuel Tech ♻️

Supply Chain Officers Are Conducting Climate Change Risk Assessment | Material Handling and Logistics

“Use of technology to assess climate change risk still in infancy stages.”

Aviation faces hurdles to hit goals for cutting emissions | AP News

“Airplanes are a minor contributor to global greenhouse-gas emissions, but their share is sure to grow as more people travel in coming years — and that has the aviation industry facing the prospect of tighter environmental regulations and higher costs.”


Manufacturing ⚙️

New Panama Canal Toll Structure Approved - G Captain

“Panama has approved a new toll structure for ships using the waterway. The new structure will be phased in beginning in 2023.”


Fuel ⛽️

Digging deep into fuel efficiency amid record-high diesel prices - DAT Freight & Analytics - Blog

“Record-high diesel costs have captured everyone’s attention recently, so this week we’re going to dig a little deeper into fuel efficiency and ways to save money.”


Safety 🦺

Positive development: Bulk haulers turn to Netradyne for smarter camera safety | Bulk Transporter

“Altom Transport, J&M Tank Lines among latest fleets to equip the AI-powered Driveri system, which promises to make drivers happier, save carriers money.”


Sales 🧾

Private jet use is more popular than ever — and first-time buyers are driving record sales - CNBC

“Business has been booming for some time for major private jet manufacturers.”

Business Strategy 💡

Pushing the Supply Chain Reset Button - Supply Chain Shaman

“Over the last three years, these three fundamental assumptions unraveled: they are no longer valid.”

J.B. Hunt introduces new transload service in Southern California - Logistics Management

Company officials said that this facility, which it said is strategically located, will support the Los Angeles and Long Beach area, with various services, including port drayage and transloading, coupled with “quick access” to both outbound rail and highway transport, and also work in tandem with its recently rolled out plan to help shippers expedite overseas freight delivery in a long-term multi-vessel service agreement.”

Supply Chain News: Amazon Cutting Poor Performing Private Label Efforts Way Back | SC Digest

“When Amazon first launched a private label business in 2009, there were certainly concerns that not only was Amazon dominating on-line sales, it would expand that position by featuring its own brands, perhaps using lower prices than those of brand companies on its sites.”

Be proactive to achieve supply chain resilience - scoutbee | Supply Chain Digital

“Scoutbee CEO Gregor Stühler discusses the difference between proactive and reactive risk mitigation strategies at Procurement & Supply Chain LIVE.”

Why Automating The Ubran Middle-Mile is. Key for Fast and Predictable Deliveries - Let’s Talk Supply Chain

“In today’s retail landscape, convenience is at the heart of consumer buying behavior. McKinsey reports that over 90 percent of US online shoppers expect free two- to three-day shipping, and a recent Shopify survey revealed that shipping cost had a significant influence on purchase decisions for nearly 75 percent of consumers.”

How Truck Freight Is Flowing in These ‘Crazy Times’ - Fleet Management - Trucking Info

“‘These are crazy times for the economy, and the elephant in the room is inflation,’ said Eric Starks, chairman and CEO of FTR, kicking off the freight forecasting firm’s State of Freight webinar on July 14.”

This is the key to getting the global economy working again - CNN

“Global supply chains are still a snarled mess, disrupting deliveries of goods, adding to headaches for businesses and feeding the worldwide surge in inflation.”


Network Association 🤝

Leading with speed | DC Velocity

“California-based Oral Essentials has been filling orders faster and more sustainably since it began outsourcing fulfillment to ODW Logistics.”

DoorDash, Schnucks expands partnership to target rapid delivery | Supply Chain Dive

“Schnuck Markets and DoorDash have expanded their prepared food delivery partnership to target faster delivery times, with orders arriving in as little as 30 minutes, according to a Monday press release.”

A little help from some friends | DC Velocity

“It is definitely an employee’s market. That’s why many companies are turning to third-party logistics service providers (3PLs) to fill the gap.”


Trade & Border Issues 🗺

Angry shippers kept in the dark by CMA CGM over Vanda cargo - The Loadstar

“Frustrated shippers and freight forwarders have written to The Loadstarin an effort to discover what has happened to their cargo, after the French container line CMA CGM continues to obfuscate over the APL Vanda accident.”

Across The Pond: The European Transportation Market (July 2022)

“You’ve probably heard the phrase, “May you live in interesting times.” It’s supposedly a Chinese curse, although there is no verified Chinese source for the phrase.”

China plans iron ore giant to assert market control | AJOT.COM

“China has formally created a state-backed iron ore company that’s expected to oversee everything from massive mine investments in West Africa to buying the steelmaking material from global suppliers.”

US imports continue to flood in, but more still arriving at east coast ports - The Loadstar

“US import container volumes grew by 5.9% in June, year on year, defying weaker consumer demand trends.”

Meeting on Resuming Ukrainian Grain Exports Likely This Week - G Captain

“Officials from Russia, Ukraine, Turkey and the United Nations will most likely meet this week to discuss resuming Ukraine’s Black Sea grain exports, Ankara said on Monday, while a Turkish official said lingering “small problems” should be overcome.”

Over $31 billion in trade is rail-landlocked or stuck at anchor off U.S. coasts - CNBC

“$1.5 billion in trade is landlocked at the Ports of Long Beach and Los Angeles waiting for rail service.”


Regulations ⚖️

House Transportation Panel to Debate Truck Parking Bill | Transport Topics

“Legislation designed to increase parking access for the nation’s truck drivers is scheduled for debate before the House Transportation and Infrastructure panel July 20.”


Brokerage 📞

Should independent dispatch services be treated as brokers? | Overdrive

“Last month, the Federal Motor Carrier Safety Administration asked for input from the trucking industry to help guide the agency in developing future guidance on the definitions of “broker” and “bona fide agents,” as required by the Infrastructure Investment and Jobs Act (IIJA), legislation passed last year by Congress and signed into law by President Biden.”


Maintenance & Repair 🧰

Taking the right angle on alignment services | Fleet Maintenance

“With the right tools, training, and strategy, vehicle alignments can become a money-making machine for both repair shops and the fleets they service.”


Covid-19 😷

How dynamic Covid restrictions are impacting trade - CNBC

“Drivers responsible for the movement of raw materials and finished goods face multiple tests in order to get behind the wheel.”


Quote of the Day:

Stacks of pink, orange, green, red, blue, and white containers on a port underneath a blue sky with pink and purple clouds.

“You Are Never Too Old To Set Another Goal Or To Dream A New Dream.”

– C.S. Lewis, British writer



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