Home » Economy » California ports delay planned fines for shipping containers amid 'improvement' in backlog
California ports delay planned fines for shipping containers amid 'improvement' in backlog
Hanesbrands CEO predicts ‘months’ before supply chain improves
Steven Bratspies, CEO of Hanesbrands, discusses the factors contributing to the backlog in the supply chain.
The Ports of Los Angeles and Long Beach have delayed a plan to impose fees on backlogged shipping containers that was set to take effect on Monday, citing progress clearing traffic amid an ongoing supply chain crunch.
"There’s been significant improvement in clearing import containers from our docks in recent weeks," Port of Los Angeles Executive Director Gene Seroka said in a statement. "I’m grateful to the many nodes of the supply chain, from shipping lines, marine terminals, trucks and cargo owners, for their increased collaborative efforts."
Officials said the ports have experienced "a decline of 26% combined in aging cargo" since the fee was first unveiled on Oct. 25. The ports planned to charge ocean carriers $100 per container, with fines on containers transported by truck kicking in after remaining on site for nine days and for containers transported by rail after six days.
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