Imports Slowing at US Container Ports on 'Flattening of Demand,' Says NRF

In stark contrast from a year ago, imports at major U.S. container ports are slowing before the holiday shopping season, as demand has fallen from peak consumption during the height of the COVID-19 pandemic, said a global port tracker from the National Retail Federation and Hackett Associates Tuesday. Hackett Associates expects the “flattening of demand” that began mid-year to continue into the middle of 2023, said founder Ben Hackett. “This will depress the volume of imports, which has already declined in recent months,” he said, saying “carriers have begun to pull services and are looking at laying up ships.” U.S. ports peaked at 2.4 million 20-foot-equivalent containers (TEUs) in May; the number dropped to 2.03 million in September. The tracker estimates 2.02 TEUs million for October, 1.92 million this month and 1.9 million for December. “Cargo levels that historically peak in the fall peaked in the spring this year as retailers concerned about port congestion, port and rail labor negotiations and other supply chain issues stocked up far in advance of the holidays,” said Jonathan Gold, NRF vice president-supply chain and customs policy. Gold referenced a possible rail strike this month, which could challenge the supply chain, but said “the majority of holiday merchandise is already on hand and retailers are well prepared to meet demand.”