Port of Los Angeles Volumes Fall 12% as Tariff Uncertainty Clouds Outlook
Los Angeles processed 812,000 TEUs in January, down 12% year over year, with exports hitting their lowest monthly level in nearly three years as tariff uncertainty lingers.
The Port of Los Angeles celebrated the work of over two dozen shipping companies for taking part in the Vessel Speed Reduction Program (VSRP).
The VSRP is a voluntary, incentive-based program to reduce the carbon emission of ships entering or leaving the Port of Los Angeles by slowing their speed. Under the program, ships slow to 12 knots or less when 20-40 nautical miles from Point Fermin. Reducing speed helps ships burn less fuel, helping with air quality.
The program was put in place back in 2001 and has offered financial incentives since 2008.
“Improving air quality in the San Pedro Bay is of utmost importance,” said Diane Middleton, Harbor Commission Vice President. “While increasing cargo volume means more jobs for our region, it’s critically important that we improve the quality of life for our neighbors. We are grateful to these companies and partners for their voluntary participation and long-term commitment to creating a cleaner and more sustainable port environment.”
Middleton also mentioned their joint effort with the San Pedro Bay Port Complex to create a zero-emission hub.
In 2022, VSRP resulted in a reduction of 31,000 tons of carbon dioxide, 66 tons of diesel particulate matter, and over 500 tons of both nitrous and sulfide oxide.
Last year 172 companies were at least 90 percent compliant with the VSRP. This led to over $1.9 million in incentive payouts.
Shipping companies recognized include APL; Chevron Shipping; CMA CGM (America); COSCO; Crowley Petroleum Services; Evergreen Marine; G2 Ocean; Hafnia Pools; Hapag-Lloyd AG; Hyundai Merchant Marine; Kawasaki Kisen Kaisha; Maersk Line; Mitsui Bulkship; MM Marine; Mol Chemical Tankers; MSC Mediterranean Shipping; Nissan Motor Car Carrier: NYK Group Americas; Ocean Network Express; OSG Ship Management; Pacific Basin Shipping; Saga Welco; Scorpio MR Pool; TORM; and Yang Ming Marine Transport.
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