Tariffs Trigger 35% Drop in Port of Los Angeles Cargo
The Port of Los Angeles-America’s busiest gateway for imports-has seen cargo volumes plunge 35% in the wake of sweeping new tariffs on Chinese goods. This dramatic slowdown, reported by port officials and industry leaders this week, is already reverberating through local jobs, national supply chains, and the broader U.S. economy.
Why Has Cargo Plummeted?
The sharp decline is directly linked to the latest round of tariffs on Chinese imports, which took effect in April. U.S. companies, facing tariffs as high as 145% on many Chinese products, have rapidly scaled back their orders. According to Gene Seroka, executive director of the Port of Los Angeles, “numerous prominent American retailers have halted all imports from China due to the tariffs,” and about 45% of the port’s traffic is typically dependent on shipments from China.
Local Impact: Jobs and Businesses at Risk
The immediate fallout is being felt by thousands of dockworkers, truck drivers, and logistics companies that depend on steady cargo flows. Many workers are now struggling to find shifts, with some leaving the daily dispatch without work-a stark contrast to the usual bustle at the port.Trucking jobs are especially vulnerable, as fewer containers mean fewer deliveries to warehouses and retailers across Southern California and beyond.
A decline of just 1% in cargo can eliminate thousands of jobs; with a 35% drop, the threat to employment and local economies is severe.
National Supply Chain Disruption
The Port of Los Angeles, together with neighboring Long Beach, handles nearly one-third of all U.S. containerized imports. The current downturn is expected to ripple outward, affecting manufacturers, retailers, and ultimately consumers nationwide. Port officials warn that the slowdown will soon translate into higher prices and fewer products on store shelves, especially as the peak shipping season for back-to-school and holiday goods approaches.
Broader Economic Context
Shipping companies are now scrambling to reroute goods through Southeast Asia or other channels, but port leaders caution that until a resolution is reached with China, volumes will remain depressed. The number of canceled vessel arrivals (“blank sailings”) has surged, with more than 30 cancellations expected in May alone, meaning 400,000 fewer containers moving through the ports.
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Sources
- NPR: In the wake of tariffs, cargo at the Port of LA is down 35%
- NPR: Port of LA executive director says cargo down by over a third this week
- LAist: Long Beach port expects big drop in cargo volume, as ‘pause’ in China orders sinks in
- LA Times: Tariffs bring shipping slowdown, threatening trucking jobs at L.A. ports
- CNBC: Port of Los Angeles says shipping volume will plummet 35% next week as China tariffs start to bite
- Reuters: Shipping volume will plummet 35% next week, LA port official says in CNBC interview
