The US West Coast ports of Los Angeles and Long Beach plan to boost collaboration on a series of initiatives designed to meet the changing dynamics of seaborne trade and their impact on cargo flow.
The announcement was made on Monday by Los Angeles Mayor Eric Garcetti and Long Beach Mayor Robert Garcia.
The two ports recently submitted to the Federal Maritime Commission an updated cooperative working agreement that clarifies and expands on their existing pact.
The proposed update, now in a public comment period which ends this Wednesday, will enable the ports to work together on strategies that will benefit both ports in the areas of supply chain logistics and gateway marketing, as well as environment, security and legislative advocacy.
“With a tentative labor contract announced late last week, the Ports of Los Angeles and Long Beach must collaborate and invest in the future to reach new levels of cargo efficiency and reinforce our position as the Western Hemisphere’s trade gateway to the world,” said Mayor Garcetti.
In recent months, the harbor commissions of both ports have requested from the FMC approval of an updated cooperative working agreement on the development of chassis supply and storage solutions, greater vessel call coordination, reduced truck turn-times, and solutions to help address congestion related to marine terminal operations.
“The changing face of seaborne trade is impacting major ports around the world,” said Port of Los Angeles Executive Director Gene Seroka. “In order to keep our competitive edge, it makes good sense for our ports to strategize and help facilitate changes in the supply chain that will enhance Southern California’s competitive advantage.”
The ports have already been working with the three primary chassis pool providers as they finalize plans to open a “gray chassis pool” or “pool of pools” March 1.
The ports also plan to hold a supply chain stakeholder summit once the labor contract is ratified, in order to look at solutions to the cargo flow challenges specific to San Pedro Bay.
The two ports handle approximately 43 percent of the nation’s total import traffic and 27 percent of its total exports.