Cargo is arriving at a record pace, while shippers worry about traffic jams and product delays. Employment is growing, but neighbors complain about congestion and pollution. And no one knows where to find the money for badly needed transportation improvements.
Welcome to the nation's most successful -- and much-maligned -- seaports.
The ports of Los Angeles and Long Beach, the busiest outside Asia, are off to a booming start in 2005. But the twin ports, long a source of high-paying jobs and a growth engine for the Southland economy, are increasingly viewed in a negative light, according to a report on local cargo trends to be released today.
"International trade no longer wears a white hat," said Jack Kyser, chief economist for the Los Angeles County Economic Development Corp. and coauthor of the report. "The industry has a major challenge on its hands, and unfortunately it is well behind in solving the problems."
The report details trade activities within the Los Angeles Customs District, which includes both ports, as well as Los Angeles International and Ontario airports. The report predicts that the total value of two-way trade through the district should increase 14.3% to a record $302.1 billion this year.
The report comes as economists and shipping experts are predicting an additional 10% increase over last year's record cargo container level at the ports -- from the equivalent of 13.1 million 20-foot-long containers to more than 14 million.
But that growth has come at a price. Emissions from giant container ships and the hundreds of diesel-powered trains and trucks that haul cargo to and from the ports are the biggest source of air pollution in Southern California. And truck congestion on area freeways continues to grate on motorists.
That said, the report notes that the ports and their related industries continue to be a reliable job generator, adding 42,600 jobs in the five-county area last year to a total of 404,600 workers.
"The good news is that the ports are generating a lot of jobs and income," Kyser said. He noted, however, that other West Coast ports had been aggressively trying to lure traffic away from L.A. and Long Beach.
"There are more alligators nipping at our heels," Kyser said, although the report notes that much of the traffic coming into the Southern California ports is used locally and isn't likely to be diverted to other ports.
