LOS ANGELES, LONG BEACH APPLAUD FMC APPROVAL OF COOPERATIVE WORKING AGREEMENT BETWEEN TWO PORTS


LOS ANGELES, LONG BEACH APPLAUD FMC APPROVAL OF COOPERATIVE WORKING AGREEMENT BETWEEN TWO PORTS

SAN PEDRO, Calif. — February 27, 2015 — The Federal Maritime Commission has announced that it has granted the Port of Los Angeles and Port of Long Beach approval of an agreement that allows the two ports to discuss and agree on projects and programs that address congestion issues, transportation infrastructure needs and reduce pollution caused by port-related activities.

The approved amendment to an existing agreement allows the ports to address congestion issues such as  establishing initiatives to increase terminal productivity, facilitate chassis availability and usage, and improve drayage truck turn times.

“I want to thank the Federal Maritime Commission and Chairman Mario Cordero for expediting the review process and allowing the two ports to work together on supply chain logistics, legislative advocacy, gateway marketing as well as the environment and security," said Los Angeles Mayor Eric Garcetti. “This agreement goes a long way toward building the best port complex in the world and moving our economy forward.”

“The ports and cities of Long Beach and Los Angeles both succeed when the other succeeds. My thanks to the Federal Maritime Commission and FMC Chairman Mario Cordero for allowing our ports to join forces to address congestion and cargo delays so these issues do not occur again,” said Long Beach Mayor Robert Garcia. “This port complex is too important for us not to do everything we can to improve it.”

“With this discussion agreement, the ports of Long Beach and Los Angeles can now focus on working together to improve the speed of cargo flow throughout the supply chain. The ports are in a perfect position — and indeed have an obligation — to bring all industry stakeholders together to identify and implement continuous improvements that deliver world-class performance on a sustainable basis,” said Jon Slangerup, Port of Long Beach Chief Executive. “Will the two Ports still compete? Absolutely, but we can and will cooperate to make our San Pedro Bay gateway stronger and more competitive than ever.”

“This FMC action will assist us in our efforts to grow cargo and jobs in the nation’s busiest trade gateway,” said Port of Los Angeles Executive Director Gene Seroka. “We look forward to collaboration and the development of strategies that will benefit both ports as we adjust to the changing dynamics of seaborne trade.”

Additional details about the FMC agreement are available here.

“Today’s global competitive environment mandates that our nation’s ports maintain competitive transportation gateways in the interest of moving cargo in efficient and cost effective systems,” said FMC Chairman Cordero. “Cooperative agreements among ports who serve a common region are now paramount in order to improve port-related transportation infrastructure and facilitating cargo movement. 

“The Southern California Ports of Los Angeles and Long Beach, our nation’s largest port complex, are in a unique position as landlord ports to facilitate discussion among all industry stakeholders and work toward solutions to issues facing the ocean transportation industry including the vital question of port congestion,” Cordero added.

The Port of Los Angeles and Port of Long Beach are the largest ports in the nation, ranked first and second respectively, and combined are the ninth largest port complex in the world. The two ports handle approximately 43 percent of the nation’s total import traffic and 27 percent of its total exports. More than 3 million direct, indirect and induced jobs are related to cargo movement at the port complex. More than $30 billion in national, state and local taxes are generated from port-related trade each year.