Exports out of Port of LA rose last month, despite chaos affecting Middle East shipping

New data from the Port of L.A. for March released on Monday shows a 7% increase in exports compared to the same month last year, with 132,000 containers leaving the port despite the turmoil in the Middle East.

“That's the highest output number for the export containers that we've seen in nearly two years,” Gene Seroka, the executive director of the Port of L.A. “While encouraging, we have much more work to do to develop a consistent upward trend."

The overall percentage change in container traffic in and out of the port in March is in the single digits, a 3% drop compared to the same month last year. Seroka said that’s because uncertainty over tariffs a year ago led companies to scramble to get their products through ports.

The longstanding trade deficit continues

However, while there’s an upward trend in exports, the data confirms something that’s been true for years: the U.S. is in a trade deficit. In March, overseas companies sent about three times more goods to consumers here than were sent out of the port by American companies. Last month, the port processed over 380,000 incoming containers, mostly from China, Vietnam and Japan.

That trans-Pacific commerce is insulating the Port of L.A. container volume from one of the most consequential geopolitical conflicts in recent memory — the war with Iran.

“So far, it's a concern, but it's not a worry,” Seroka said.

An electric top handler moves cargo off of semi-trucks at the Port of Los Angeles.

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Joel Angel Juarez

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CalMatters

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Foreign shipping companies that do business with the Port of L.A., as well as ports in the Middle East, are doing what they can to protect their trade with the U.S., Seroka said.

“The transpacific business is the most lucrative of any east west [trade] for the service providers and shipping lines… they'll go to great lengths to make sure those supply chains remain intact,” he said.

The port is the busiest in the Western hemisphere, generating more than $300 billion in trade last year, making it an important regional and national economic engine.

But the war is affecting shipping companies and consumers in other ways. The price of gasoline has gone up, as well as cargo ship fuel, which will likely be passed on to consumers.