Georgia South Carolina Ports Form Southern States Chassis Pool

The Georgia Ports Authority and the South Carolina Ports Authority have partnered to submit an agreement to the Federal Maritime Commission to establish the 'South Atlantic Chassis Pool 3.0' (SACP 3.0). This aims to address chassis aging, shortages, and market fragmentation in container shipping in the Southeastern United States. Operated by the North American Chassis Pool Cooperative (NACPC), the pool focuses on improving chassis quality, increasing scale, and providing a cost-based pricing model. The goal is to enhance container shipping efficiency and reduce logistics costs for shippers in the region.
Georgia South Carolina Ports Form Southern States Chassis Pool

Container chassis, the critical link between maritime and land transportation, directly impact port throughput capacity and logistics costs. As container trade volumes continue to grow in the U.S. Southeast, challenges including chassis shortages and inconsistent quality have emerged as constraints on regional economic development.

Origins of the Southern States Chassis Pool

As early as 2006, Jim Newsome, President and CEO of the South Carolina Ports Authority (SCPA), recognized the importance of efficient chassis supply for container transport. He spearheaded the creation of an initial chassis pool to better serve the region's needs. "This pool currently provides about 40% of the chassis in all pools managed by Container Chassis Management (CCM)," Newsome noted.

However, over time, several issues became apparent:

  • Aging fleet: The existing chassis pool has aged, leading to increased maintenance costs and reduced reliability.
  • Supply shortages: Chassis availability hasn't kept pace with the Southeast's rapid container trade growth.
  • Market fragmentation: Approximately 40% of container movements now use chassis outside the pool system, creating inefficiencies.

These challenges prompted the Georgia Ports Authority (GPA) and SCPA to collaborate on a new solution - the Southern States Chassis Pool.

NACPC to Operate the New Pool

The North American Chassis Pool Cooperative (NACPC), a trucker-centric organization committed to improving chassis quality at cost, will operate the new pool. This selection reflects GPA and SCPA's focus on addressing trucker needs to create a more practical and efficient system.

Three Primary Objectives

The Southern States Chassis Pool aims to:

  1. Enhance chassis quality: Implementing strict standards for chassis age, radial tires, LED lighting, and ABS braking systems.
  2. Expand fleet size: Growing the pool to meet increasing demand while establishing responsive deployment mechanisms.
  3. Implement cost-based pricing: Adopting a "daily cost" model to eliminate current market disparities and improve transparency.

Industry Response

Industry analysts have welcomed the initiative. Daniel Smith of The Tioga Group emphasized the importance of the trucker-focused approach: "Chassis are highway equipment, and it makes sense that they should ultimately be managed by truckers. This is how other segments of the trucking industry operate."

The Hidden Bottleneck

While less visible than ships or ports, chassis represent a critical bottleneck in container transport:

  • Poor quality chassis increase breakdowns and delays
  • Insufficient numbers create port congestion
  • Inefficient operations raise logistics costs

Future Development

The Southern States Chassis Pool represents a significant step in addressing the Southeast's transport challenges. Future expansion could include:

  • Broader regional participation
  • Smart technology integration
  • Environmentally friendly chassis adoption

Chassis Types and Maintenance

The pool will need to accommodate various chassis types including 20-foot, 40-foot, 45-foot, extendable, and gooseneck models. Regular maintenance covering tires, brakes, lighting, and structural integrity will be essential for safety and longevity.