|Shipping sector review: The US in 2012 (logistics sector)|
|Tuesday, 08 May 2012 00:00|
Shpg Gazette 7/5/12
IN our previous two articles covering the US shipping sector in 2012 we looked at the country’s leading ports and their top carrier and shipper customers.
We found that the fortunes between east and west coast ports are somewhat divided, given the heavy reliance on Asia as a source for import traffic for the west coast ports, while the east coast and Gulf ports are supported by Europe and in some cases Latin America as well as Asia.
Each port has a different range of customers with different commodities—automotive, electronics or general consumer goods—which could also provide some insight into which ports will perform the best this year.
Today in The Container Shipping Manager we will turn our attention to the logistics service providers…
In the above table we can see which companies have the most dominant presence in the logistics sector in the US today. In this edition we will focus on the top six.
UPS is currently number one in the US. The group earned close on US$50 billion last year. In its logistics operations alone it earned $6 billion—$4.7 billion of which came from its freight forwarding operations.
Its airfreight business accounted for 60 per cent of its freight forwarding revenue, while the remainder was from its ocean business. As such, UPS is more heavily geared towards airfreight; however, its ocean volumes remain significant.
Last year UPS handled 700,000 TEU in ocean volumes for the US market, out of which 12 per cent was consolidation cargo, or less than container load (LCL) business.
Approximately 40 per cent of this business was for Asia-US cargo.