Retail imports in US to grow through summer

Imports at the US’ major retail container ports should see steady increases through the summer and into the fall, according to the monthly Global Port Tracker report released by the National Retail Federation and Hackett Associates. Unemployment is at its lowest level in a decade and the economy is adding jobs, which means shoppers are likely to spend more.

“Regardless of whether the sales come in their stores or through their websites, retailers see that consumers are buying more this year and they’re importing the goods needed to meet the demand. With unemployment at its lowest level in a decade and the economy adding jobs, retailers expect shoppers to continue to increase their spending,” NRF vice president for supply chain and customs policy Jonathan Gold said.

“In the United States, the economy continues to slowly grow. Gross domestic product was lower than expected in the first quarter but unemployment has dropped to levels not seen since before the Great Recession and, best of all, labour employment has increased dramatically. Our view, therefore, remains unchanged: There is nothing to worry about in the first half of the year, and growth is expected to continue in the second half even if it comes at a slower rate,” Hackett Associates founder Ben Hackett said.

Ports covered by Global Port Tracker handled 1.53 million twenty-foot equivalent units in March, the latest month for which after-the-fact numbers are available. That was up 6.8 per cent from February, when many Asian factories closed for lunar new year, and up 15.8 per cent from unusually low numbers the same month a year ago, when lunar new year came a week later than this year. One TEU is one 20-foot-long cargo container or its equivalent.

April was estimated at 1.56 million TEU, up 8.3 per cent from the same time last year. May is forecast at 1.66 million TEU, up 2.6 per cent from last year; June at 1.62 million TEU, up 3.3 per cent; July at 1.68 million TEU, up 3.1 per cent; August at 1.74 million TEU, up 1.6 per cent, and September at 1.65 million TEU, up 3.6 per cent.

The first half of 2017 is expected to total 9.5 million TEU, up 5.6 per cent from the first half of 2016. Cargo volume for 2016 totalled 18.8 million TEU, up 3.1 per cent from 2015, which had grown 5.4 per cent from 2014.