Oakland port imports slump amid China factory cuts
Exports from facility rise 15.4% in February
OAKLAND >> Imports to the Port of Oakland slumped in February, partly due to the coronavirus woes, while exports from the East Bay cargo hub jumped, the facility reported on Friday.
Imports turned sluggish partly because the coronavirus has hobbled numerous factories in China and other Asian manufacturing centers and partly due to a seasonal slowdown after the conclusion of the Lunar New Year in Asia, the Port of Oakland said.
“Chinese factory closures to combat coronavirus have reduced output of finished goods sent to the U.S. in containers,” the Oakland port said Friday.
All told, imports during February fell by 9.1% compared with the same month the year before, according to the Port of Oakland.
Exports from the port rose 15.4% in February compared with February 2019, the port stated.
For February compared with the same month the year before, overall activity — the combination of exports and imports — rose 2.9% at the Port of Oakland.
Shipping lines have scuttled 20 voyages to the Port of Oakland that were scheduled for February, March, or April, the port said.
“That’s a result of reduced demand for ship space because of China’s manufacturing downturn,” the Oakland port said.
Ocean carriers also have torpedoed plans for dozens of other voyages to ports worldwide, according to the port. That offers a forbidding prospect for the future.
“The result is likely to be a decline in March import volume, as well,” the port said in a prepared release on Friday.
The one bright spot in the unsettling monthly report: Exports continue to surge from the Oakland port.
“It may be too soon to declare this a rally, but we’re encouraged by our export performance,” Oakland Maritime Director John Driscoll said.
Much of the export volume increase was fueled by growth in agricultural exports, especially refrigerated perishables. It singled out increased shipments of chilled and frozen meat products to Asian markets.
“It shows demand remains strong for our customers’ products,” Driscoll said.