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5 KEY STATES WITH INTERMODAL TRANSIT HUBS OFFERING SIZABLE ECONOMIC AND ENVIRONMENTAL ADVANTAGES

intermodal transport
Archives, Global Trade Daily, Site Selection

5 KEY STATES WITH INTERMODAL TRANSIT HUBS OFFERING SIZABLE ECONOMIC AND ENVIRONMENTAL ADVANTAGES

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In today’s hyper-globalized world, the ease at which goods are moved from A to B in many ways defines how we live and work. 

If you were to take a straw poll of your household or office, the chances of somebody not wearing, carrying or using an item made from components that were produced or assembled hundreds if not thousands of miles away is almost zero. The ease at which we can acquire everything, from food and clothing to tech gadgets and furniture is, largely, taken for granted. 

However, without the non-stop functioning of transportation networks at the local, national and international level, none of this would be possible. And the way in which these networks operate continues to evolve in sophistication, both in terms of routing efficiency, technology leveraged and coordination between players on land, at sea and in the air. 

Indeed, the latter refers to the concept of intermodal transportation. 

In the simplest of terms, intermodal transportation is the use of two or more modes, or carriers, to transport goods from shipper to consignee, without any handling of the freight itself when changing modes. 

A TEU container, for example, could conceivably leave a Chinese factory on a haulage truck to a nearby rail depot, travel by freight train to the nearest seaport, be ferried by container vessel to the U.S. coast, transferred onto a railway line and moved to another depot, before being unloaded onto a truck and driven to its final destination–all without a single hand touching the goods inside. 

Despite the disruption caused by the coronavirus pandemic, the value of such activity is estimated to have hit $25 billion in 2020. As the world’s economy starts to recover, the global intermodal freight transportation industry is forecast to grow at around 15 percent year-on-year between now and 2027, when it is set to be worth $67 billion. 

North America holds a significant share of the global market. The U.S. alone is expected to register at around $6.8 billion for 2020, a figure which should steadily rise given how increasingly dependent intermodal transport activity is on the consumer economy’s demand. 

The region’s rail industry is concentrating on creating new intermodal services that can successfully rival over the road options. 

For instance, in August 2019, Canadian National Railway (CN) and CSX Transportation announced a new intermodal service offering between CN’s greater Montreal and Southern Ontario areas, and the CSX-served ports of New York, New Jersey, Philadelphia and the New York City metropolitan area. 

This intermodal offering is expected to convert long-haul trucks to interline various rail services. Trains will be able to run directly into the center of Toronto and Montreal’s urban markets via CN intermodal yards, making this partnership a natural opportunity for both railroads. 

Meanwhile, there are signs that intermodal activity in the U.S. is bouncing back from the initial COVID-19 slump. 

According to the Association of American Railroads, during the first week of August 2020, 277,054 intermodal shipments were made by U.S. railways, the highest level seen since December 2019 and 30 percent up on the 2020 low in April. 

Around the States: 5 key Intermodal Transit Hubs

The signs are indeed healthy, and many cities and regions across the U.S. are ready to help the country bounce back by increasing throughput of goods once more. 

Critical intermodal transport conduits exist all over the States, from east to west and north to south–without them, supply chains would be far costlier and more difficult to operate seamlessly. Here, we take a look at just five key nodes which provide leading intermodal infrastructure, starting in the Midwest. 

ILLINOIS 

For well over a century, Chicago has acted as a key artery in America’s commercial transport network. Around a quarter of all rail freight calls into the city, either as a final destination or stop on a journey elsewhere, while O’Hare International Airport processes around 2 million metric tons of cargo at a value of approximately $200 billion every year. 

Illinois is also extremely well served by what is North America’s largest inland port in the form of CentrePoint Intermodal Center. Located in the Joliet and Elwood area, around 40 miles southwest of Chicago, it is a 6,400-acre master-planned intermodal development that sees 3 million TEUs pass through it every year. 

It includes a 785-acre Union Pacific Railroad complex just south of Joliet and a 770-acre BNSF railway complex farther to the southwest. Furthermore, it is built with heavyweight roads able to withstand massive pressure and contains a number of other useful features such as water and utility systems, public bus service connections, no restrictions on trailer parking ratios and 24/7 on-site fire and police protection. 

The site constitutes something of an intermodal fortress, and it is currently home to more than 30 tenant companies who between them occupy more than 14 million square feet of space.

TEXAS 

Dallas strategically sits at a crossroads of numerous railroad lines, four major interstate roads and one of the world’s busiest airports, making it among the country’s most important intermodal transport hubs. 

The Dallas-Fort Worth Metroplex is a 9,000-square-mile urban center located near the geographic heart of the United States and equally accessible to the East and West coasts. Its location means that around 80 markets can be reached overnight either by road or rail, with major regional business heartlands such as New York, Los Angeles, Toronto and Mexico City all within easy reach, an advantage that few other intermodal nodes can offer. 

Dallas-Fort Worth International Airport considers itself “the nexus of Latin America-Asia transit freight,” and for good reason. In 2019, it saw almost 985,000 tons of international and domestic cargo move through its site and, despite the impact of COVID-19, still recorded more than 870,000 tons of goods in 2020, a drop of around 11.5 percent.

Another important facility is the Wylie Intermodal Terminal. A fairly recent addition to Dallas’ intermodal transport infrastructure (opening in 2015), it is a $64 million development owned by Kansas City Southern Railway (KCS), and it is set to capitalize on significant opportunities in cross-border activity with Mexico. 

Wylie is a city and northeastern suburb of Dallas, with the KCS terminal spanning 500 acres and servicing 12 gulf ports and one Pacific Ocean port, as well as more than 140 transload centers and 11 intermodal ramps. KCS also provides 181 interchange points with other railroads, including all U.S. and Mexico class 1 railroads.

VIRGINIA

Norfolk, Virginia, is home to a vibrant intermodal transport scene thanks to its ability to serve rail, sea and air freight seamlessly. It is built on a formidable maritime history, centered around the enormous naval base on the Chesapeake Bay, a tradition that has very much expanded into the sea freight domain. 

The Port of Virginia, which is situated around two and half hours from the open sea, handled 2,327 vessel calls and departures in 2019, equating to around 3 million TEUs and 55 million tons of cargo worth almost $75 billion. Thanks to the port’s two on-dock class 1 railroads, more than a third of the cargo managed here arrives or departs by rail–this is a higher proportion than any port on the East Coast. 

Logistics firms using Norfolk can also rely on its international airport. It is one of the most efficient cargo operations in Virginia and moves around 30,000 tons of air cargo every year, with the likes of FedEx, Mountain Air and UPS all regular customers. 

CALIFORNIA

Around 2,700 miles due west of Norfolk, you will find Los Angeles, arguably the West Coast’s most important intermodal transport hub. 

Its beating heart is undoubtedly the Port of Los Angeles, a massive seaport covering 7,500 acres of land and water along 43 miles of waterfront that brands itself as America’s Port. Indeed, it is the nation’s No. 1 container port and prides itself on providing a global model for sustainability, security and social responsibility. 

Founded in 1907 as a far smaller operation, today it holds 82 ship-to-shore container cranes spread across 15 marinas with 3,376 recreational vessel slips and dry docks, facilities that enabled it to move 9.2 million TEUs in 2020.   

It adjoins the Port of Long Beach, itself one of the busiest seaports in the world. The operation here houses 68 gantry cranes, which between them move around 7.5 million TEUs every year, all valued at close to $200 billion. 

This is not to forget the contribution of Los Angeles International Airport, the world’s fourth busiest, which handled almost 2.5 million tons of cargo in 2018, FedEx alone is responsible for carrying 16 percent of the freight that moves in and out of the site. 

TENNESSEE 

It is also important to consider the significance of intermodal transport infrastructure away from the coast. Memphis, unlike our other four locations, is situated in a landlocked state (Tennessee) and is home to one of the country’s most active intermodal freight systems.  

Its focal point is Memphis International Airport which, thanks to its heavy use by FedEx, is the top U.S. gateway in terms of cargo weight and the second busiest cargo airport in the world. 

FedEx employs more than 11,000 staff at its Memphis hub and has more than 34 million square feet of space under lease on airport property. The company operates around 400 flights daily and handles over 180,000 packages and 245,000 documents per hour.

In striking distance of Memphis International Airport is America’s fifth-largest inland port–the Port of Memphis. It serves more than 150 industries and moves a rich variety of goods, from petroleum and cement to grain and steel, and can connect to sea, rail, road and air via the Mississippi River, five class 1 railroads, major north-south and east-west interstate highways, and the nearby airport. 

Such is its vital role in facilitating economic activity, it claims to carry an annual economic impact of more than $9.2 billion. Indeed, it refers to itself as “the Mid-South’s best kept industrial and economic secret,” even though it has been operational since the 1950s. 

Exploiting the Intermodal Advantages

These are just five examples of cities and regions enabling supply chain and logistics firms to exploit the numerous advantages offered by intermodal transit hubs. 

Economically, they help to minimize truck movements, which reduces fuel consumption, driver costs and the need to invest in road-based vehicles. Lower fuel consumption also results in fewer carbon dioxide and nitrogen oxide emissions, vital if the country is to drive future development along a sustainable path. 

From an operational perspective, businesses can benefit from more reliable transit times (due to reduced road reliance), elimination of border documentation and hold-ups, reduced impacts from adverse weather and fewer accidents and damage to cargo. Meanwhile, hauliers can benefit from working within their own country and avoid making long trips across borders. 

Intermodal transportation is, above all else, designed to create an even more fluid supply chain from which all commercial enterprises and consumers can benefit. By taking advantage of the numerous modes of transport via critical junctures and hubs along long-distance routes, freight need not rely on a single truck to make it from destination A to destination B. 

Rather, intermodal relies on input from a variety of stakeholders along the way, spreading the wealth generated by commercial and consumer-based purchases more widely than it otherwise would. Hubs such as those seen in Chicago, Dallas, Norfolk, Los Angeles, Memphis, and many others not cited, help to realize this.   

And as the country recovers from the enormous health, social and financial impacts of the coronavirus pandemic, intermodal transport will no doubt play its part in remobilizing the U.S. economy for the betterment of all American businesses. 

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Archives, Global Logistics, Global Trade Daily

ROADBLOCKS CHANGE THE PACE FOR INTERMODAL LEADERS

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This year presented new challenges and literal roadblocks for the intermodal industry. From the blindsiding pandemic to the fluid political and regulatory climate, intermodal operations were tested without much of a warning. For some companies, the pandemic forced internal process changes, while proactive preparations proved beneficial for others. More importantly, the lessons taken from 2020’s unique disruptions will ultimately reveal which companies learned how to adapt for the future and which ones still have work to do post-pandemic.

Beyond adaption and predictions, collaboration for intermodalism is critical. Companies such as Consolidated Chassis Management continue to keep safe connectivity part of the foundation of its intermodal operations. Without this critical element, the success of any intermodal process is compromised.

“At the core, the entire intermodal system requires that we collaborate and connect,” explains Mike Wilson, CEO of Consolidated Chassis Management. “We witnessed the importance of working together at the onset of the coronavirus, but as the crisis levels off, we can see that organizations are moving back into their silos. This diminishes the impact that seamless, well-connected intermodalism can have on the supply chain.

“In chassis specifically, we look to optimize collaboration through interoperability, but the problem is systemic, and all supply chain stakeholders need to look to balance commercial interests with optimized supply chain fluidity.”

As all parts of the supply chain work to accommodate the “new normal” and future disruptions, Wilson further reiterates the importance of communication and sharing of information, particularly for upcoming peak seasons that require specific assets. This as well requires a proactive approach to gathering accurate and timely data and the specific needs of every part of the operation.

“Dislocation of assets becomes a significant challenge and some parts of the supply chain end up scrambling to source assets, whether it be containers or chassis, to accommodate surges or a new market demand,” Wilson says. “We must minimize inefficiencies and redundancies while maximizing utilization and availability for everyone operating in the supply chain. That means working together to meet the needs of the industry.”

He cites as an example of the timely sharing of data “so that logistics and equipment providers throughout the supply chain can plan accordingly, rearranging inventory and reallocating resources.”

Every part of the process is critical to the next step–whether that be the technology utilized to track or the equipment needed. When one part of the supply chain is delayed, every part of the supply chain feels it. Although it is difficult to predict every possible delay, there are more than enough resources and lessons from the past that all industry players can tap into and prepare with.

This means that last-minute changes must be prepared for before they happen. One example is revised schedules for ocean carriers. Wilson explained at the time when these schedules unexpectedly shifted, chassis and other equipment providers were forced to evaluate the state of their inventory. He cites the prompt notice of the changes for the success of planning initiatives.

“Open communication and sharing of information are great steps,” Wilson says. “Data sharing is critical to meticulously planning, minimizing waste, and streamlining processes. We must minimize inefficiencies and redundancies while maximizing utilization and availability for everyone operating in the supply chain.”

Technology goes together with collaboration and planning measures, especially in the current trading landscape. The important thing to keep in mind when utilizing the solutions offered by technology, however, is that the human element is equally important. Simply put, we need the combination of experienced team members and the appropriate technology to address the nuanced aspects of this business. To that end, identifying the right technology is critical. There is no “one-size-fits-all” technology approach.

“We still need to consistently look at our technological solutions to ensure they do not cause disruptions or generate new manual tasks that are solely performed to support a new function for the technology being adopted,” Wilson advises. “All stakeholders within the supply chain benefit from adopting technology that will integrate easily with other platforms whether it is an internal or external application. We need to pursue technologies that enhance and synergize with existing programs. Not only do we need experts with experience and knowledge to guide customers in a way that technology often can’t, but we also need to allow for ‘exceptions’ and swift, agile unexpected adjustments that cannot be left to technology alone.”

Automation is another factor intermodal players can tap into for successful navigation of fluid regulations and market dynamics. CCM offers intermodal providers a unique and effective solution for capturing unexpected costs while maximizing information available. When it comes to regulations, manual processes can hinder rather than help.

“When looking to navigate regulations and compliance issues, I would turn to automation as often as possible to take the manual process out of it wherever you can,” Wilson says. “CCM has a new M&R (MandR) system for intermodal equipment and one of the features we have built in addresses tax regulations.  Vendors, mechanics and intermodal asset owners do not have to worry about tax rates. We have a process whereby we get automatic updates for each state, push to our system, and it automatically updates. Users never have to worry. Wherever you can apply a strategy like this, do it.”

To put this all together, communication and utilizing the right resources are the common themes found for successfully operating in the intermodal sector, regardless of the market challenges and level of disruption. From post-pandemic environments to the constantly changing regulatory system, strategizing to ensure all parts of the supply chain are considered will make or break operations. In some cases, this includes competitors and partners alike.

Wilson concludes the conversation by adding: “It is important to remember that often, your biggest competitor can also be your biggest collaborator, especially in this industry. Working in collaboration with your competitors as well as other stakeholders is, after all, what intermodalism is all about.”

______________________________________________________________

Mike Wilson is the chief executive officer of Consolidated Chassis Management.  Prior to joining CCM, he was senior vice president of Business Operations for Hamburg Süd, where he was responsible for all marine and terminal operations, equipment and intermodal, finance and accounting, information technology, human resources and administration. Mr. Wilson has 39 years of experience in international shipping, and his past duties have included senior positions in logistics, operations and customer service, covering a geographical scope that includes North America, Europe, Central America, the Caribbean and North Coast of South America. He received the 2018 Connie Award for his significant contributions to the evolution of containerized shipping and intermodalism. 

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Archives, Features, Global Trade Daily, Top Ports

BEHOLD, IT’S AMERICA’S TOP 50 POWER PORTS

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Some ports excel in imports, some in exports, others in domestic trade and still more in international trade. America’s Top 50 Power Ports are the highest ranked in total trade, however.

 

Based on their U.S. port ranking by cargo volume in 2018, the fabulous fifty are:

1. South Louisiana, LA

Total tons: 275,512,500

Stretching 54 miles along the Mississippi River, South Louisiana is the largest tonnage port district in the western hemisphere.

2. Houston, TX

Total tons: 268,930,047

Handling about 70 percent of all the container cargo through the Gulf of Mexico coast, the Houston channel serves nearly as many calls as Los Angeles, Long Beach and New York/New Jersey combined.

3. New York/New Jersey

Total tons: 140,281,992

The gateway to one of the most concentrated consumer markets in North America, the Port of New York and New Jersey is the largest on the East Coast.

4. Beaumont, TX

Total tons: 100,244,231

The world-class intermodal transportation facility is served by three class one rail carriers, located within two miles of Interstate 10, and situated on a deep-water channel with a 40-foot draft.

5. Corpus Christi, TX

Total tons: 93,468,323

Positioned on the western Gulf of Mexico with a 36-mile, 47 foot (MLLW) deep channel, the port is a major gateway to international and domestic maritime commerce, with railroad and highway network connectivity via three class one rail carriers and two major interstate highways.

6. New Orleans, LA

Total Tons: 93,332,543

A modern multimodal gateway for global commerce, the port’s competitive edge comes from an ability to deliver seamless, integrated logistics solutions between river, rail and road.

7. Long Beach, CA

Total tons: 86,536,154

The second-busiest container seaport in the U.S. is the premier American gateway for trans-Pacific trade and a trailblazer in innovative goods movement, safety, environmental stewardship and sustainability.

8. Baton Rouge, LA

Total tons: 82,234,811

Strategically located on the Mississippi River, the Port of Greater Baton Rouge is a major driver of the state’s economy, ranking among the U.S. top ports in total tonnage.

9. Hampton Roads, VA

Total tons: 71,774,349

The Port of Virginia’s network of terminals can process more than 4 million containers on an annual basis, serving ultra-large containers vessels arriving from across the Atlantic, inland barge service traveling up the James River as well as rail as the No. 1 in volume on the East Coast.

10. Los Angeles, CA

Total tons: 67,806,137

Billed as “America’s Port” (it’s registered!), the nation’s premier gateway for international commerce is the busiest seaport in the Western Hemisphere, handling diverse commodities from avocado to zinc.

11. Mobile, LA

Total tons: 58,635,622

Alabama’s only seaport to ensure economies of scale and competitive rates for mining, manufacturing, agribusiness and retail/distribution shippers, Mobile just watched the ink dry on a pact that will modernize facilities and deepen and widen the shipping channel.

12. Lake Charles, LA

Total tons: 56,908,344

The deepwater seaport on the Calcasieu Ship Channel, north of the U.S. Gulf Coast, opened in 1926 and today is the 12th-busiest port district in the nation, based on tonnage, as ranked by the U.S. Army Corps of Engineers.

13. Plaquemines, LA

Total tons: 56,850,137

Located at the mouth of the Mississippi River on the Gulf of Mexico, the Port of Plaquemines is about 20 miles south of New Orleans.

14. Baltimore, MD

Total tons: 44,778,259

The Helen Delich Bentley Port of Baltimore handled a new record of 43.6 million tons of cargo in 2019, including more than 11 million tons of general cargo at the state-owned public terminals for the first time ever. The number of vehicles (857,890) topped all  U.S. ports for the ninth straight year.

15. Texas City, TX

Total tons: 42,682,311

The privately-owned port, whose shareholders include Union Pacific Railroad and BNSF Railway, is the 15th largest port in the country and fourth-largest in Texas.

16. Savannah, GA

Total tons: 41,273,947

Savannah joins fellow deepwater port Brunswick and inland terminals in Chatsworth, Bainbridge and Columbus to serve as Georgia’s gateway to the world, especially for raw materials and finished products bound for, well, all over the globe.

17. Port Arthur, TX

Total tons: 39,851,706

The ultimate direct transfer facility for international cargo shipping is positioned on the Gulf of Mexico, where it competitively handles any type of commodity.

18. Cincinnati, OH-Northern Kentucky

Total tons: 38,534,187

Part of the Ohio-Mississippi River Waterway on the banks of the Ohio River, the port is at the center of a large metropolitan area that occupies parts of Ohio, Indiana and Kentucky.

19. Louis, MO/IL

Total tons: 37,426,710

The Port of Metropolitan St. Louis is 70 miles long, situated on both sides of the Mississippi River, and is the 19th largest U.S. port according to the 2018 US Army Corps data. The northernmost ice- and lock-free port on the Mississippi, the port is served by six class one rail carriers, seven Interstates and two international airports.

20. Duluth-Superior, MN/WI

Total tons: 35,102,200

Long known as the Great Lakes “bulk cargo capital,” the port accommodates the maritime transportation needs of a wide range of industries, ranging from agriculture, forestry, mining and manufacturing to construction, power generation and passenger cruising.

21. Huntington – Tristate

Total tons: 34,245,342

Centered on the Ohio River in Huntington, the Port of Huntington Tri-State is the largest inland port in the U.S. and the largest river port in West Virginia.

22. Tampa, FL

Total tons: 31,006,487

Serving container ships, tank ships and cruise lines, Port Tampa Bay is the largest port in Florida and only 25 sea miles from the Gulf of Mexico.

23. Pascagoula, MS

Total tons: 27,358,043

The deepwater port on the southeastern coast of Mississippi consistently ranks in the top tier of ports in the nation related to foreign trade. Primary exports include frozen foods, general cargo, grains, machinery, forest products, fertilizer and petroleum products.

24. Richmond, CA

Total tons: 27,255,061

With its roots in petroleum and liquid bulk cargos, Richmond has expanded its dry bulk, breakbulk and containerized cargo handling capabilities and has increased its automobile processing facilities. Today, Richmond ranks No. 1 in liquid bulk and automobile tonnage among ports on San Francisco Bay.

25. Philadelphia, PA

Total tons: 26,656,373

Located on the Delaware River in Philadelphia, the port’s publicly owned marine terminals are managed by the Philadelphia Regional Port Authority (a.k.a. PhilaPort, an agency of the Commonwealth of Pennsylvania that is responsible for six other ports that combined create one of the largest shipping areas of the country.

26. Seattle, WA

Total tons: 26,046,093

The port keeps Washington state connected through aviation, maritime, logistics, trade and travel services. Its scope includes Seattle-Tacoma International Airport (Sea-Tac), and in 2014 an alliance was formed between the ports of Seattle and Tacoma.

27. Valdez, AK

Total tons: 25,807,750

Valdez is a fishing port, both for commercial and sport fishing, but freight also moves through bound for the interior of Alaska. Valdez is connected to the inland by the Richardson Highway, while also serving as a port of call in the Alaska Marine Highway ferry system.

28. Freeport, TX

Total tons: 25,446,078

Billed as one of the most accessible Texas ports “by land and by sea,” Port Freeport is administered as an independent governmental body authorized by an act of the Texas Legislature in 1925. Located about 60 miles south of Houston, the port is accessible via state highway 36, and highway 288.

29. Port Everglades, FL

Total tons: 25,022,351

Port Everglades is one of Broward County’s leading economic engines, generating nearly $32 billion in economic activity annually while supporting 13,000 local jobs for people who work at the Port and for companies that provide direct services.

30. Charleston, SC

Total tons: 24,822,636

The South Carolina seaport’s facilities span three municipalities—Charleston, North Charleston and Mount Pleasant—with five public terminals handling containers, motor vehicles and other rolling stock, non-containerized goods and project cargo. Privately owned and operated facilities at the port handle bulk commodities such as coal, steel and petroleum.

31. Portland, OR

Total tons: 23,228,424

‪Oregon’s largest port ships more than 11 million tons of cargo a year, including grain, minerals, forest products, and autos. The port partners with the region’s businesses and shippers to develop custom shipping solutions that deliver results.

32. Tacoma, WA

Total tons: 22,849,184

Seattle’s Northwest Seaport Alliance partner jointly manages marine cargo operations to strengthen the Puget Sound gateway. Tacoma is strategically located in the northwest corner of the U.S., where the focus is on efficiency, reliability, and customer service.

33. Pittsburgh, PA

Total tons: 21,567,015

The port spans a 12-county area, encompassing essentially all 200 miles of commercially navigable waterways in southwestern Pennsylvania, including the three major rivers in this region: the Allegheny, the Monongahela, and the Ohio.

34. Oakland, CA

Total tons: 19,373,876

The first major port on the Pacific coast to build terminals for container ships, Oakland went on in 2002 to develop an intermodal container handling system to handle a high volume of cargo.

35. Jacksonville, FL

Total tons: 17,999,036

JAXPORT is a global gateway to the nation’s third-largest state, serving dozens of ocean carriers and offering competitive transit times to 140 ports in more than 70 countries. JAXPORT boasts of 100 trucking firms and 40 daily trains via two class one rail carriers and a regional rail line.

36. Two Harbors, MN

Total tons: 17,208,207

You will mostly see “lakers” (ships that travel within the Great Lakes) in Twin Harbors’ Agate Bay, but more and more there are also ocean-going vessels arriving to load iron ore that was delivered by rail from mines in northern Minnesota.

37. Chicago, IL

Total tons: 16,866,792

Located on the Chicago River on Lake Michigan, the port has a rich history as a center of commercial shipping, with fur traders choosing it as a distribution point for their products. Operated by the Illinois International Port District, Chicago consists of various port facilities, including a terminal with 100 acres of warehouses and facilities.

38. Boston, MA

Total tons: 16,163,552

The major seaport in Boston Harbor and adjacent to the City of Boston is the largest port in Massachusetts as well as one of the principal ports on the East Coast. Most cargo handling facilities are in the Boston neighborhoods of Charlestown, East Boston, South Boston and in the neighboring city of Everett.

39. Paulsboro, NJ

Total tons: 16,121,201

The Paulsboro Marine Terminal, the first major port to be constructed on the Delaware River in more than 50 years, has processed more than 4 million tons of imported steel slabs since it opened in 2017. The second phase of construction is scheduled for completion in 2021. At full build-out, the new facility will feature three berths on the river and a barge berth on Mantua Creek.

40. Kalama, WA

Total tons: 15,796,458

Sitting on the Columbia River in Southwest Washington, immediately off of Interstate 5, the port is just 30 miles northwest of Portland and 120 miles south of Seattle. Kalama’s industrial area includes five miles of riverfront property adjacent to the river’s 43-foot, federally maintained deep-draft navigation channel.

41. Honolulu, HI

Total tons: 15,181,890

The gateway to Hawaii is less than 2 miles from the major steamship lines and carriers. The 3-acre Honolulu Freight Service terminal services all domestic and international inbound cargo, utilizing a 60,000-square-foot facility with 14 dock high doors, ramp access and conveniently located on North Nimitz Highway.

42. Detroit, MI

Total tons: 14,837,762

Located along the west side of the Detroit River, Michigan’s largest seaport consists of multiple marine terminals handling general, liquid, and bulk cargo as well as passengers. The Port of Detroit’s single most valuable commodity is steel, and the largest commodity handled by tonnage is ore. Other important commodities handled at the port include stone, coal, and cement.

43. Longview, WA

Total tons: 13,738,906

Operating since 1921, the port has eight marine terminals and waterfront industrial property spanning 835 acres on the deep-draft Columbia River, 66 miles from the Pacific Ocean in southwest Washington state.

44. Marcus Hook, PA

Total tons: 12,205,883

The Delaware Bay seaport has an anchorage depth of 11 to 12.2 meters, a cargo pier depth of 9.4 to 10 meters, and an oil terminal depth of 11 to 12.2 meters.

45. Indiana Harbor, IN

Total tons: 11,910,541

July 17, 2020, marked the 50th anniversary of the grand opening of the Port of Indiana-Burns Harbor, the beginning of an organization that connects America’s heartland to the world and provides a stimulus to the state’s economy.

46. Cleveland, OH

Total tons: 11,778,910

One of the largest ports on the Great Lakes, the port is responsible for more than 20,000 jobs and $3.5 billion in annual economic activity. The Port of Cleveland is the only local government agency whose sole mission is to spur job creation and economic vitality in Cuyahoga County.

47. San Juan, PR

Total tons: 11,737,059

The port’s cargo facilities are located on the southern portion of San Juan Bay. At least eight cargo terminals–five in the Puerto Nuevo district and the rest in neighboring Guaynabo—have immediate access to Puerto Rico’s vast expressway system and several major local routes.

48. Memphis, TN

Total tons: 11,055,740

The “International” Port of Memphis the second-largest inland port on the shallow draft portion of the Mississippi River, and the fifth largest inland port in the nation.

49. Anacortes, WA

Total tons: 11,038,886

One of only eight deepwater ports in Washington state, Anacortes can accommodate Panamax vessels with additional dredging. The port—which was ranked 49th among U.S. ports and fifth among Washington ports in total trade by cargo tonnage during 2016—is known for its diverse, highly skilled maritime sector workforce.

50. Vancouver, WA

Total tons: 10,527,470

One of the major ports on the Pacific Coast, Vancouver (of Washington, not British Columbia) boasts as competitive strengths available land, versatile cargo handling capabilities, vast transportation networks, a skilled labor force and an exceptional level of service to its customers and community.

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Archives, Features, Global Logistics, Global Shippers 101, Ocean Ports

AMERICA’S LEADING PORTS FROM COAST TO COAST

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What makes a well-functioning port? Let us count the ways. There are a number of factors that contribute to the success of a port. First is location. A port should be in a region with natural resources, access to transportation and enough space for future growth. Second, it should have access to funding through government or private investment. Without this, infrastructure that facilitates the transport of goods can’t be built—tanks, cranes, quays and jetties, for example.

Third, a port should be able to accommodate ships. Does the port provide easy access during low and high tides? How well are the facilities maintained, particularly during flooding, droughts, or in extreme weather? Great ports also have the resources needed to function, including piers, stacking yards, and warehouses. And last, for the ports with an eye toward the future, they should also have access to land that will help with expansion. It will provide easy access to transport—river, rail, road.

A great port is the rare amalgam of art and science—like these leading American ports from coast to coast.

1. Port of New York and New Jersey

With 72 percent of the first port of calls on the East Coast, the Port of New York and New Jersey is the busiest in the region. It has contributed to the New York City area becoming an affluent commercial district nationally and globally. The largest port on the East Coast is also the third-largest in the United States.

It supports 400,000 jobs and has generated almost $8.5 billion in local, state, and federal tax revenues. It has facilitated more than 85 million tons of cargo worth more than $211 billion. Its top exports are wood pulp, wood and articles of wood, and plastics. Top imports are beverages, plastic and machinery parts. New York and New Jersey is No. 3 nationally for the total volume of exports, the highest on the East Coast, behind the West Coast ports of Long Beach and Los Angeles.

2. Ports of Tacoma and Seattle

The Port of Seattle and the Port of Tacoma—both located in Washington State and jointly operated by the Northwest Seaport Alliance (NWSA)—is the fourth-largest container gateway. The NWSA, by way of the Port of Seattle and the Port of Tacoma, also ships bulk, breakbulk, project/heavy-lift cargos and vehicles. These ports provide a gateway for major distribution points in the Midwest, Ohio Valley and East Coast.

The NWSA is also a key trade partner with Asia. International trade generated was worth $75.3 billion in 2017. Domestic trade, which includes routes through Puget Sound on the way to Alaska, generated $5.4 billion in 2015, according to the NWSA. The No. 1 gateway for refrigerated exports, the NWSA ports helped generate more than $4.3 billion in revenue for Washington State.

3. Port of Los Angeles

The Port of Los Angeles isn’t quite located in the city of Los Angeles but is 25 miles south in the San Pedro Bay. Nonetheless, the Port of LA is the No. 1 container port in the U.S. in terms of cargo volume going in and out of the port. It includes 7,500 acres of land and 43 miles of waterfront. The Port of LA has passenger and cargo terminals that accommodate containers, cruise lines, automobiles, dry and liquid bulk, breakbulk and warehouse stage space.

Also, the No. 1 container port in the Western Hemisphere since 2000, the Port of LA moved more than 9.5 million twenty-foot equivalent units (TEUs) in 2019. The port is currently undergoing a $2.6 billion infrastructural redevelopment project to strengthen its economic arm and cargo efficiency. The gateway for trade with Asia has a diverse array of exports ranging from avocados and zinc.

4. Port of Long Beach

The Port of Long Beach is the No. 2 busiest container seaport in the U.S., which is fitting because it operates in concert with its numero uno neighbor the Port of Los Angeles. Long Beach’s port supports one in five jobs in its city and contributes to $200 billion in trade annually. The port handled more than 8 million TEUs in 2018, its busiest year. Its Middle Harbor Redevelopment Project is pioneering sustainable practices through a 10-year construction program. It will redevelop two older terminals to create a more advanced, greener container terminal.

A western gateway to Asia, the port has more than 90 percent of its shipments bound for East Asian countries. The Port of Long Beach boasts 3,520 acres of land, 4,600 acres of water, 10 piers, 62 berths and 68 post-Panamax gantry cranes. It also handles 82.3 million metric tons of cargo per year.

5. Port of Houston

Houston might not be the first city that comes to mind when you think “international city,” yet the Gulf Coast location serves as a gateway to various countries. That explains why its port is built for international trade—to the point that it’s the No. 1 U.S. port in total foreign waterborne tonnage, with imports and exports combined.

The Port of Houston contributes 20 percent of the GDP for the state of Texas, worth $339 billion. With 69 percent of all U.S. Gulf Coast container traffic, the Port of Houston is the largest container port. It also prioritizes air quality in the local region through the use of alternative fuels and low-emission equipment and vehicles.

6. South Carolina Ports

Here are two winning statistics: the South Carolina Ports boast more crane moves per hour than any other U.S. port (37), and it also exported more than 194,000 vehicles in 2019. Opened in 1942, the South Carolina Ports Authority consists of public maritime terminals at the Port of Charleston, the Port of Georgetown, and inland ports in Dillion and Greer.

Deep channels accommodate vessels up to 48 feet, and ships are two hours sailing distance from open ocean to South Carolina Ports. Turnaround times for trucks at the gates are 23 minutes with nine minutes at the interchange gate. Transportation is also amenable with interstate access within two miles of all South Carolina Ports, and rail access through CSX and Norfolk Southern railroads.

7. Port of Oakland

The Port of Oakland waters are 50 feet deep to accommodate vessels that hold capacities of up to 18,000 TEUs. This up-and-coming port has transportation partners that include Union Pacific and BNSF Railway. International accounts for 92 percent of the port’s trade, with 78 percent being with Asia, 11 percent with Europe and 2 percent apiece with Australia/New Zealand and Oceania and other foreign countries. The Port of Oakland is one of the three major container ports in California that account for more than 50 percent of total U.S. cargo volume.

The port contributes to more than 73,000 jobs in the Oakland region, and more than 827,000 in the United States. Growth With Care, a five-year growth plan the port released in 2018, aims to bring in more business, with a goal of 2.6 million TEUs and an 8 percent increase in containerized cargo volume by 2022. Investing in large projects and focusing more on sustainable practices throughout the port are also part of the growth plan.

8. PortMiami

The Port of Miami (a.k.a. PortMiami) is the U.S. container port that is closest to the Panama Canal. It provides global access to Florida and much of the rest of the United States. It’s also the closest East Coast port to Mexico.

More than $1 billion was invested in 2019 to make PortMiami even more accessible globally. It has a deeper dredge to welcome large cargo vessels, and on-port rail provides alternative transportation. The port also has an underwater tunnel that connects to the interstate to keep port traffic off of the highway. PortMiami is located strategically at the nexus of north-south and east-west trade lines.

9. Port of South Louisiana

This 54-mile long port sits at the intersection of the Gulf of Mexico and the Mississippi River, which provides easy distribution for products at the domestic and international levels. The Port of Louisiana has three main interstates that connect to the port. It is also served by six major gas and oil lines, transporting more than 1.1 million barrels of crude oil per day.

In 2019, the Port of Louisiana had 3,495 calls from oceangoing vessels, and 54,921 barge calls. The total throughput for the year totaled more than 258 million tons of cargo through vessels and barges. Port of South Louisiana’s Foreign Trade Zone 124 was ranked No. 1 by Merchandise Magazine based on admitted products worth $51.8 billion. The port, which is also ranked No. 1 domestically for total throughput tonnage, boasts the largest grain port in America. Air cargo is accessible through the Louis Armstrong International Airport.

10. Port of Corpus Christi

Operating since 1926, this 36-mile Texas port provides a 47-foot deep channel for domestic and international trade. It provides access through rail and road, connecting to two major interstate highways (37 and 181) and three railroads (BNSF, Kansas City Southern and Union Pacific). It is the third-largest port domestically and No. 2 for crude oil exports.

With a warm climate that allows for easy operation year-round, the Port of Corpus Christi is also a part of the Intracoastal Waterway that stretches from Brownville, Texas, to Boston, Massachusetts, along the Atlantic Coast. The port also implements renewable energy practices by using wind energy for breakbulk and heavy-lift cargo.

11. Port of Mobile

The Port of Mobile carries more than $22.4 billion in economic value to Alabama. The only deepwater port in the state, it sits on the Mobile River. It houses 5 million square feet of warehouse and open-yard space and has a channel depth of 45 feet. Its tonnage in 2018 totaled 26.8 million tons.

Major imports for the Port of Mobile include heavy lift and oversized cargo, containers, coal, aluminum, iron and steel. Major exports include heavy lift and oversized cargo, containers, coal, lumber, and plywood. The port has 1,500 miles of inland and Intracoastal waterways. It serves the Gulf of Mexico, the Ohio and Tennessee river valleys and the Great Lakes. It is owned and operated by the Alabama State Port Authority.

12. Port of Greater Baton Rouge

The Port of Greater Baton Rouge sits where the Mississippi River and Gulf Intercoastal Waterway converge. Its 45-foot shipping channel is upheld by the U.S. Army Corps of Engineers. This port also offers access to intermodal transportation via connections to interstate highways.

The Midwest and other U.S. regions can be accessed through the Port of Baton Rouge’s 15,000 miles of inland waterways. The port also provides access to the Gulf of Mexico, Latin America and the Panama Canal. Its bulk and breakbulk cargo include asphalt, aggregates, limestone, barite, carbon black, coal and coffee.

13. Port of Plaquemines

Twenty miles south of the Port of New Orleans (and also in Louisiana) is the Port of Plaquemines, which boasts of more than 100 miles of deep-draft access, with a minimum of 45 feet. It’s within the same Plaquemines Parish where you will find the unincorporated community of Venice, which supports oil and gas tonnage. Venice has pipelines, petroleum infrastructure and draft wharfage with both deep and shallow water to support vessels carrying oil supply.

The Port of Plaquemines, which can be accessed by 33 U.S. states, has annual tonnage exceeding 55 million tons. Popular imports include coke, carbon black feedstock, crude and fuel oil. Exports include coal, grain-corn, soybean and wheat.

14. Port of Metropolitan St. Louis

That is how the city of St. Louis, Missouri’s port authority refers to the important trade hub in the Midwest. The 70-mile port is the second-largest inland port in the U.S. Its cargoes include grain, coal, chemicals, and petroleum products.

Metro St. Louis is also the 17th largest port in the U.S., with an intermodal transportation system that includes six Class One railroads, seven interstates, and two international airports. It has access to two foreign trade zones and contributes to thousands of jobs in Missouri and Illinois. The Port of Metropolitan St. Louis ships more than 36 tons of freight annually. It has 16 public terminals and more than 130 piers, wharves, docks, and fleeting.

15. Port of Portland

Oregon’s Port of Portland may be on the West Coast, but it is a central trade hub for the Midwest, having shipped more than 4 million tons of grain worldwide in 2017. It has been an auto gateway since 1953, importing and exporting vehicles manufactured by Ford, Toyota, Hyundai and Honda. More than 300,000 automobiles were imported or exported through the Port of Portland’s terminals in 2019.

This port’s intermodal transportation includes rail and interstate highways. With three airports, four terminals, and five business parks, the Port of Portland has also helped generate more than $6.4 billion a year for the region. It has also helped spur the creation of 27,000 jobs and contributes to more than $1.8 billion in wages.

16. Port of Pascagoula

More than 32 million tons of cargo pass through this Southeastern Mississippi port each year. The Port of Pascagoula is Mississippi’s largest seaport. This port provides easy access for shipment through the Gulf of Mexico. Shipping lanes can be accessed within two hours from open ocean, and the channels are 42 feet deep.

The Port of Pascagoula is operated by the Jackson County Port Authority. Popular imports are forest products, crude oil, and chemicals. Exports are forest products, paper products, petroleum products, chemicals and project cargo. It ranks No. 23 in total trade—domestic plus international—with a volume of 27 million tons in 2018, according to statistics from the U.S. Army Corps of Engineers.

Each of these ports fulfills different factors that help them to successfully function in their respective regions. Whether it’s the depth of the channels to allow for varying size ships to dock or easy access to transportation, these ports help to facilitate domestic and international trade. In turn, they help spur the creation of jobs and stronger local, state and national economies. Overall, these ports are helping to shape the United States economy for the better—one import, one export, at a time.

Archives, Global Trade Daily, Ocean Carriers

The Relationship Between Technology & Intermodal Capacity

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In a world where operations don’t have an option to slow down, capacity concerns are issues that will always be a burden in the back of any operator’s mind. Whether you’re running a rail, port or even distribution center, capacity options are vital to keeping operations running–and efficiently. The last thing you want to see is a competitor taking the business you could’ve easily handled, but didn’t, all due to capacity restraints. Even worse, capacity restraints you didn’t anticipate, leaving your company seeming to look unprepared. Not only that, it ultimately tells prospective, lifelong customers that proactivity doesn’t exist in the company strategy and day-to-day operations. Proactivity is equally important as visibility.

These two features are complementing elements to operational success, but it’s nearly impossible to tap into their potential the old-fashioned way. The good news is there are options in the form of technology and innovation that stay one step ahead of you–meaning you have a system completely capable of updating you on what’s going on and what needs to be addressed, all at the click of a button while taking the stress off you. Insight given from leaders in transportation all share a common theme: visibility is key.

“There is not any difference in the requirements for [handling] truckload versus intermodal in today’s market,” InTek Freight and Logistics President Shelli Austin recently told Intermodal Insights. “It’s now falling into the need for visibility and on-time service. Before, it was the deferred ‘it will get there when it gets there’ type of freight. All successful 3PLs need to have the same real-time information for intermodal that they do for [over-the-road] freight.”

“3PLs are being asked to do more multi-leg management, particularly of drayage at both origin and destination,” says Tommy Barnes, president of project44, which bills itself as the world’s leading advanced visibility platform for 3PLs and shippers. “It is a little bit harder, but they are providing a lot more value to customers.”

Automation continues to make news headlines with its unmatched ability to seamlessly connect almost every aspect of each industry, including intermodal transportation. The main takeaway from automation integration is the level of visibility and connectivity provided among workers and companies that partner for the bigger picture. This shows customers the level of expertise and preparedness your company provides for their needs, ultimately creating competitive advantage and ensuring business keeps moving. The theme of the solution in demand is an increase in more accurate information.

“The key technology for the intermodal product is the ability to capture real-time drayage information at pickup and delivery,” Austin noted in the article. “It is easy to get the information once the container is in the possession of the rail lines. The challenge is grabbing the information from all the different truckers that can and will be used to create capacity for these moves.”

With that being said, blockchain technology continues to provide the solutions, information and visibility necessary for providers and terminal operators to ensure the measures needed are in place to avoid operational hiccups such as terminal overload and miscommunication.

More recently, Kalmar Global announced how it would provide its SmartPower rubber-tyred gantry cranes (RTGs) to Norfolk Southern in an effort to extend capacity efforts through its integrated system.

Norfolk serves as a transportation industry leader, boasting 19,500 route miles in 23 states. The company can also brag about an extensive network at every major container port in the eastern United States. Kalmar’s SmartPower RTGs were specifically chosen to improve capacity at Norfolk’s intermodal terminals in Chicago and Rossville in Memphis, Tennessee.

“We are very pleased to be able to continue our collaboration with Norfolk Southern and to support them with the optimization of their intermodal operations,” says Troy Thompson, vice president of Sales at Kalmar Americas. “The proven Kalmar SmartPower RTG provides the perfect balance between productivity and cost efficiency in a variety of container-handling applications.”

Whether it’s partnering with a company that knows what it takes to keep capacity issues minimal or implementing a technology platform—or both—the bottom line is to ensure visibility, ability and operations are not compromised. In a C.H. Robinson blog, author Phil Shook, the director of Intermodal, explains that intermodal shipping will play a role in driving business growth for American railroads, citing that “the 70 intermodal ramps continue to expand.” With this expansion will nonetheless come capacity concerns, providing even more of a reason to invest in automated technology that can keep up with rapid expansion and demand without falling behind.

In his post, Shook makes a fantastic consideration by adding that, “Knowing exactly where a shipment is in transit has quickly become the expectation rather than exception. Companies and consumers expect near real-time notifications about every step of a product’s journey—including facility and town names. And just like the truckload sector, intermodal providers are working hard to deliver.”

This snippet from his blog reiterates the need for an uncompromising level of knowledge from when and where the next load is going. Because the market and its ever-evolving nature continues more demand, it’s imperative to invest in an all-in-one transportation management system that goes beyond what an average TMS provides. Why? Your business simply cannot afford to not have a reliable TMS in place. If you’re lucky enough to find a provider that can not only provide a robust TMS but also integrate new levels of technology, even better, albeit difficult to come across.

Beyond your company’s terminal capacity management, technology integration is now the new standard to global operations. Customer demands will continue to rise, at times becoming more complex and challenging than before. Consider the missing elements in your operations strategy that ultimately hinder providing the very best to customers. Additionally, don’t forget to thoroughly educate and inform employees of changes to come, showing them how to work smarter and not harder. Through this level of anticipation, proactivity and integration, you will foster an environment that motivates instead of overwhelming.

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Archives, Global Shippers 101, Global Trade Daily

HOW TO BE AN INTERMODAL SHIPPER OF CHOICE

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Fluctuating capacity and freight rates along with increased focus on efficiency and sustainability have led to substantial growth in the intermodal market in recent years. As more companies now compete for intermodal capacity at competitive rates, it is important for shippers to set themselves apart from the competition by being attractive partners to their intermodal carriers. 

By being a “shipper of choice” and implementing flexible and efficient practices, companies can build collaborative, mutually beneficial relationships with their intermodal carriers. This better positions them to secure capacity at stable, competitive pricing and enhance service levels and improve overall performance. 

Why It’s Important to be an “Intermodal Shipper of Choice” 

While being a “shipper of choice” has been a hot topic in recent years, the focus has primarily been placed on over-the-road shipping. And while there are many similarities between the two modes, there are also some nuances that must be considered to be an “intermodal shipper of choice” in particular. 

First, because loads are tied to the equipment instead of to an individual driver, there must be an equal (if not greater) focus on equipment management and efficiency in addition to driver efficiency. By placing equal focus on implementing “carrier-friendly” tactics for intermodal freight, shippers can strengthen carrier relationships and better control costs. This, in turn, ensures enhanced intermodal service performance–increasing the ROI of utilizing the mode.

Here are some strategies organizations can use to become an intermodal shipper of choice:

Engage in annual renewals with incumbent carriers rather than annual RFPs. While annual RFPs can yield savings, they also increase uncertainty and risk for both shippers and carriers. By focusing on long-term commitments with incumbent carriers through annual renewals, shippers and their core carriers can continuously foster a relationship of mutual trust and ongoing success. Through this relationship, the carrier and its drivers become intimately familiar with the shipper’s network, freight and business, and the shipper gets to know the carrier’s operations and the drivers responsible for picking up and delivering their loads.

Accurately forecast freight volumes. The ability to forecast freight volumes and seasonal swings allows shippers and carriers to proactively plan (and reposition) equipment and drivers to provide adequate capacity. Sharing this information not only helps provide more consistent service but can be beneficial for both sides on an ongoing basis. 

Consistent freight volumes. Having consistent volume spread out throughout the week, month or year makes appointment scheduling and equipment planning easier for the carrier. And if shippers do ship heavier at certain times, it is important to set and manage expectations with carriers. 

Equipment pool requirements in line with volume. Pool requirements that are in line with volume allow shippers to turn boxes on a regular basis and keep loads moving at a consistent pace. This helps maximize equipment utilization while minimizing equipment costs.

Inbound and outbound volume. Setting consistent inbound and outbound volume out of facilities allows drivers to pick up loads immediately following a drop-off. This reduces empty miles and improves both driver and equipment utilization. These efficiencies will ultimately result in better rates from carriers. 

Utilize drop and hook freight capabilities. Drivers want to be able to get in and out of a facility in an efficient manner, at any time. Drop and hook freight capabilities create load flexibility, reducing congestion in the yard and maximizing driver utilization by minimizing detention time. 

Flexible pick-up and delivery appointments. For customers that require pick-up and delivery appointments, it is important to make them as flexible as possible. This drives further efficiencies for both the carrier and the shipper.

Reasonable payment terms. Shippers should have timely freight payment terms (often 30 days or fewer) and keep to those terms. It is also important to have a system in place to quickly resolve any discrepancies.

Provide driver amenities at the facilities. By providing driver amenities at their facilities (such as bathrooms or waiting lounges), shippers help make the pick-up and delivery process easier and more comfortable. These simple comforts show that the shipper views the carrier (and its drivers) as a valuable part of their operations versus a commodity. 

Utilize facilities in close proximity to intermodal terminals. Facilities that are located near intermodal rail terminals allow rail to be a more competitive option for a shipper. While this is not always possible, shippers looking to build new facilities should consider placing them near rail ramps in order to take advantage of more intermodal opportunities. 

Intermodal Presents Significant Opportunity for Shippers

Intermodal continues to be a cost-effective, efficient and sustainable way to move freight and should be a key piece of any strategic modal mix. And as more shippers compete for capacity and competitive rates, it’s important for shippers to best position themselves to be attractive partners to intermodal carriers. This will allow them to better take advantage of intermodal while helping to control costs and enhance service performance. 

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Doug Punzel is president of Celtic Intermodal, Transplace’s intermodal business unit. David Marsh serves as Celtic Intermodal’s chief operating officer and helps oversee all daily operations. 

Topics of discussion included: terminal overload and new technologies to increase throughput; tightened trucking capacity; needs of shippers and adaptive change in the supply chain
Archives, Commentary, Global Logistics, Global Trade Daily, Ocean Ports, Special Reports, U.S. Ports

IANA Intermodal Expo 2018: Key takeaways and discussion topics

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Beautiful Long Beach, California was the setting for IANA’s (Intermodal Association of North America) annual expo, the IANA Intermodal Expo 2018. Over 2,000 representatives from the intermodal and transportation communities touched down to present, converse, debate and exchange ideas surrounding trends and issues shaping the future of the larger intermodal supply chain community.

We had the pleasure of exhibiting and attending with those 2,000 plus attendees, and this year’s expo was chalk full of over 60 industry experts and a staggering 125 plus exhibitors showcasing some of the most technologically advanced products and services the intermodal industry has seen.

Day 1:

The morning of Day 1 kicked off with Bill Strauss, senior economist and adviser with the Federal Reserve Bank of Chicago. Mr. Strauss managed to bring an initial, collective smile to the room, noting that the 2018 expo is meeting at a time of strong economic growth. Consumer spending and GDP are up, the economy has been growing at an average annual rate of 2.3 percent (since 2009), and if this continues through July of next year new records will likely be reached.

The intermodal industry numbers support Mr. Strauss, as intermodal volumes were up 7 percent (as of August 2018) compared to last year with the third-party logistics sector also expanding – global estimates peg the market to reach $968 billion this year, compared to $869 billion last year.

IANA is a “connecting force” for the intermodal freight sector, bringing together the most relevant (and up and coming) players via the creation of spaces, such as the Intermodal Expo, to stay informed, drive industry success and strengthen the broader community. IANA members count on a wealth of resources, but most important, access to relevant trends that are shaping the sector at breakneck speeds.

Day 2:

A handful of truly remarkable innovations were on-hand at this year’s expo. A recurring issue year in and year out is terminal overload. Moderated by Taso Zografos, Principal at ZDEVCO, the panel, “Intermodal Terminal Overload: How Can Technology Help?” brought together a handful of expert panelists on the issue where autonomous vehicles, automated stacking cranes and similar “smart equipment” was presented. Warehouses, marine terminals and rail ramps are fantastic for “smart equipment” due to little vehicle traffic and confined areas. The next challenge however will be rolling this out to harbor drayage and the open road. As Wade Long, regional vice president of Volvo Trucks astutely noted, heavy-duty diesel trucks, many operated by living, breathing drivers, will still be around for at least the next 50 years.

Another recurring theme throughout the two-day event was productivity, especially in a time of truck driver shortages. This has been a troubling point for some time, where a shortage of drivers produces bottlenecks throughout the supply chain thus hampering productivity at a macro level. Larry Gross, president of Gross Transportation Consulting, moderated an engaging panel surrounding this very issue. Driver productivity has been on the decline, and Phil Shook, director of intermodal for C.H. Robinson, communicated it best noting that the industry standard used to be 500 miles per driver, and that has now dipped into the 400s. The room agreed that getting an extra half-a-load per driver per day is the proverbial Holy Grail.

Next year’s expo will be held September 15-17, 2019 in that same jewel beside the bay – Long Beach, California. Pack your swim-trunks, this is an expo you don’t want to miss! Register to exhibit before space fills up or if you are just looking to attend, registration opens up in March of 2019.