Operators at the premier US maritime gateway in LA are pulling out all the stops to cope with peak volumes in the coming months, but the longer-term outlook remains a headache.
Terminals are extending gate hours, and a surge yard expansion at LB is boosting capacity to hold containers. Arguably the biggest boost comes from the Long Beach Container Terminal expansion project, which is adding one million TEUs in annual capacity. Armed with these, officials have expressed cautious optimism that traffic will remain fluid through the peak season, but some clients are skeptical.
According to one source, a large terminal at LA that changed hands a few years ago is currently the object of negotiations for a sale at about three times the former selling price.
The source noted that another large terminal operator is for sale, adding that the increase in valuation is likely to drive investment in container terminals. Together with anticipated federal money pouring into infrastructure, this could fuel capacity expansion.