Cargo Slump

As an avid listener of talk radio (nerd alert), I constantly hear the debate from so called financial experts about whether or not the country is in a recession. Besides the soaring gas prices, mortgage crisis, and tough housing market, another major indicator that we are already in a recession is the slump in imports of containerized cargo from Asia.

Cargo throughput at the Los Angeles/Long Beach ports fell 8.8 percent compared to the same time last year (February and January). Home furnishings, one of the largest import products into the U.S., is also down due to the decline in new home builds.

According to Art Wong, a spokesperson for the Port of Long Beach, containerized imports for 2007 were “the second weakest in 20 years”. He also mentioned that other weak years (1990 and 2001) “preceded or coincided with a recession”.

The sagging dollar, although hurting imports, has caused an increase in containerized exports. From reports I have read, many port officials expect to see double digit increases in exports from the U.S. this year.
Source - Cargonewsasia