Chinese Cargo Ship Arrivals Drop Sharply At 2 Of America’s Busiest Ports

Shipments from China to two of America’s busiest ports- Los Angeles and Long Beach- have seen a sharp decline.

According to Port Optimizer, a vessel tracking system, the number of container ships departing China for these key Southern California ports dropped by 29% in the week ending May 3 compared to the previous week.

The year-over-year drop is even more staggering- 44% fewer vessels are expected to arrive in the week of May 4 to May 10.

Only 12 container ships are scheduled to arrive at the ports this week, down from 22 during the week of April 20.

The volume of cargo has also plummeted. This week, about 62,568 TEUs (twenty-foot equivalent units) are expected, nearly half the 120,608 TEUs that arrived between April 20 and April 26.

The daily update data is based on manifests filed by vessels either en route to the US or preparing to depart from Asia.

This slowdown is also beginning to impact road transportation. The trucking industry, closely tied to port activity, is feeling the pinch.

An industry expert from a major freight analytics firm pointed out that the West Coast is reaching a “tipping point.”

He stated that the number of available truckloads has dropped drastically, with over 700,000 fewer loads nationwide compared to just two weeks ago.

Meanwhile, sources told CNBC that Treasury Secretary Scott Bessent hinted at a potential easing of trade tensions with China in the near future, calling the current trade situation “unsustainable.”

Shipping lines are responding to the drop in demand by cancelling sailings, also known as “blank sailing.”

Major alliances such as Gemini (Maersk and Hapag Lloyd) have cancelled over 24% of their scheduled sailings.

The Ocean Alliance, which includes major players like CMA CGM and Cosco, has an 18% cancellation rate.

Premier Alliance and individual carriers like MSC and ZIM have also pulled back on sailings, with rates ranging from 10% to 15%.

In total, 80 scheduled sailings from China have been cancelled recently, as ocean carriers adjust to reduced cargo volumes caused by US tariffs and ongoing trade tensions.

References: CNBC