Waterloo, Canada – The latest global shipping report from Descartes Systems Group reveals a complex picture of the North American container import market. While June 2024 showed tentative signs of recovery, persistent trade policy uncertainties and accelerating supply chain diversification continue to reshape the landscape.
Import Volumes: Temporary Rebound Masks Underlying Weakness
U.S. container imports reached 2,217,675 TEUs (20-foot equivalent units) in June 2024, marking a 1.8% month-over-month increase. This modest growth interrupted several consecutive months of decline, yet year-over-year volumes remained 3.5% lower. The first half of 2024 saw a 3.8% cumulative increase compared to 2023, though growth rates have decelerated significantly since the beginning of the year.
Despite the monthly improvement, analysts caution that current volumes remain below historical averages, suggesting continued economic headwinds including persistent inflation and elevated interest rates that continue to constrain consumer purchasing power.
Trade Policy Impact: A Double-Edged Sword
The report highlights how U.S. trade policies—particularly those affecting China—create both opportunities and challenges. Key deadlines including the July 9 expiration of tariff suspensions and the August 10 conclusion of the U.S.-China trade truce period are forcing companies to reassess their supply chain strategies.
"Policy changes have created visible fluctuations in import patterns for two consecutive months," said Jackson Wood, Descartes' Director of Industry Strategy. "Importers face mounting pressure to build more resilient supply chains capable of navigating this volatile environment."
China's Declining Share Accelerates Diversification
Imports from mainland China grew just 0.4% month-over-month to 639,300 TEUs in June—a staggering 28.3% decline from June 2023. China's share of total U.S. imports has fallen to 28.8%, the lowest in four years and well below the February 2022 peak of 41.5%.
This dramatic shift reflects both tariff avoidance strategies and broader efforts to reduce dependence on Chinese manufacturing. Southeast Asian nations have emerged as primary beneficiaries, with Vietnam (7.7% growth), Indonesia (17.3%), and Thailand (8.6%) showing particularly strong performance. Notably, Italian imports also surged by 9.0%, suggesting European sourcing may be gaining traction.
Port Performance: West Coast Resurgence
Among America's top 10 ports, June volumes increased 3.1% to 55,733 TEUs. Los Angeles led with a remarkable 29.1% surge (adding 103,884 TEUs), while Savannah and Houston declined by 16.9% and 15.8% respectively.
West Coast ports collectively increased their market share from 38.1% to 45.4%, while East Coast and Gulf Coast ports saw their share drop from 44.5% to 38.7%. Analysts attribute this shift to reduced tariffs on Chinese goods—which predominantly enter through Pacific ports—during the trade truce period.
Building Supply Chain Resilience
The report emphasizes several critical strategies for navigating current market conditions:
Policy Monitoring: Staying abreast of evolving trade regulations and tariff schedules enables proactive adjustments.
Diversified Sourcing: Expanding supplier networks across Southeast Asia, Latin America, and Europe mitigates single-market dependence.
Inventory Optimization: Balancing just-in-time efficiencies with strategic buffer stocks helps buffer against disruptions.
Technology Investment: Advanced analytics, AI-driven forecasting, and supply chain visibility platforms enhance decision-making capabilities.
As global trade dynamics continue evolving, Descartes' data-driven insights provide businesses with valuable tools to navigate uncertainty and strengthen their competitive position in an increasingly complex marketplace.