Transportation

Cargo ships aren't the only bottleneck — shipping containers sat on land longer than ever last month

Containers at the port of Los Angeles, California, US.
Containers at the port of Los Angeles, California, US. Xinhua/Getty Images
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Backlogs on land at the nation's largest ports hit a new record in October.

While the ports in Los Angeles and Long Beach have continued to break records this year for the number of ships waiting to dock at the locations, unloaded shipping containers are also creating historic traffic jams. The amount of time the containers that are waiting to be picked up by trucks lingered in the port terminals climbed to an average of 7.64 days last month, according to data from the Pacific Merchant Shipping Association.

In September, the average amount of dwell time for unloaded containers at the ports was under six days. The PMSA said in its statement on Monday that over half of the containers at the ports waited in the terminals for over five days. 

Dwell time for containers traveling by railroad improved in October from an average of 5.5 days the previous month to 3.9 days. Earlier in the year, the glut of containers turned railroads into major chokepoints. However, since then, the movement of goods through rails has improved.

Meanwhile, overloaded warehouses and a shortage of workers and chassis have made it increasingly difficult for truckers to pick up goods from the ports. What's more, the backlogs on land create a ripple effect, making it even more difficult for the ports to unload incoming cargo ships because there is often no space to offload the goods.

"Terminals are not designed to be a long-term storage facility for cargo," the manager of government affairs at PMSA, Jessica Alvarenga, said.

The same month that dwell time for containers hit all-time highs, the ports announced plans to begin charging carriers $100 per day for each container that remained at the ports past six to 9 days. When the fines were initially announced, nearly 60,000 shipping containers had lingered at the ports for over 9 days.

On Monday, the ports postponed the new fines for the third time, saying the container congestion had cleared by nearly 30%.

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Grace Kay
Grace Kay was a Correspondent on Business Insider’s enterprise desk, where she covered the inner workings of Tesla, Elon Musk’s AI startup, xAI, and the broader robotics and electric vehicle industries.Her stories have been cited by multiple publications, including Reuters, Bloomberg, and CNBC. Before joining Business Insider, she worked at Bloomberg and Forbes.Tesla: Inside 'Project Rodeo,' the Tesla effort pushing the limits of self-driving technologyInternal Tesla salary database shows Elon Musk's strategy: Lower salaries, bigger stock grantsTesla tells staff it plans to roll out its Robotaxi service in San Francisco this weekendTesla has been working on modified Model Ys for its Robotaxi programTesla prioritizes Musk's and other 'VIP' drivers' data to train self-driving softwareAshok Elluswamy is the most powerful Tesla executive you've never heard ofxAI:Internal documents reveal how Elon Musk's xAI trains Grok to be the anti-woke chatbotXAI's Macrohard project stalls as Tesla ramps up a similar AI agent effortElon Musk's xAI plans to supply computing power to coding startup CursorWar rooms, group chats, and video games: Inside Elon Musk's AI startupBehind Grok's 'sexy' settings, workers review explicit and disturbing contentElon Musk's xAI lays off hundreds of workers tasked with training GrokEVs and robots:Fisker employees are fixing some customers' cars with parts from the company's vehicle 'graveyard,' sources sayFisker Ocean reservation cancellations top 40,000 as the EV company tries to fight off bankruptcy, leaked data showsInside the downfall of Henrik Fisker's second automotive startup, which just filed for bankruptcyInside the glass-walled Tesla lab where workers train the Optimus robot to act like a humanInside OpenAI's renewed push into robotics