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admin | Category: Shipping Storage Containers | 20.11.2013
Longshore workers have not boosted container movement at the Port of Portland in the last month, according to the terminal operator, casting doubt on Hanjin Shipping Co.'s decision expected this week on whether to pull its vessels. Asked Tuesday about productivity at the North Portland container yard, Elvis Ganda, chief executive of terminal operator ICTSI Oregon Inc. But Bill Wyatt, Port of Portland executive director, disputed Ganda's conclusion, saying he had seen improvements.
A spokeswoman for the San Francisco-based longshore union did not respond late Tuesday to a request for comment. It's possible that ICTSI would understate productivity improvements to strengthen its hand in contract negotiations with Hanjin and other ocean carriers.
Those anxiously awaiting Hanjin's decision include Northwest exporters, importers, manufacturers, farmers, shippers and others who depend on Oregon's only international container terminal. A long-running dispute over the two jobs plugging, unplugging and monitoring refrigerated containers, or reefers, slowed operations at Terminal 6 last year, snarling cargo and causing ships to bypass Portland.
Kitzhaber said in December that his deal resolved the dispute over the reefer jobs, meaning that T-6 would be competitive, productive and internationally attractive. Without specific guarantees, it's been unclear whether Hanjin managers will conclude they have enough assurance to reverse their decision to leave Portland.
But Portland's parochial issues may not rate high among concerns at South Korea's largest ocean cargo carrier, which faces global financial challenges.
Hanjin is among cargo carriers facing a global overcapacity and a slump in freight rates caused by China's weak iron-ore demand and other factors.

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Improved productivity would reduce ICTSI's labor costs, enabling ocean carriers to press the terminal operator to lower the rates it charges them.
If the South Korean company carries through on its decision to depart, Oregon businesses will have to pay extra for trucking containers to and from Seattle, Tacoma and other ports.

ICTSI's statement that productivity hasn't improved could increase the likelihood that Hanjin will depart. In November, Hanjin chief executive Kim Young Min resigned, taking responsibility for two successive years of losses and delays in getting financial support from creditors. His management experience includes years at Korean Air, a major Hanjin Shipping shareholder. We inspect each and every container before it is delivered to you.?We develop and build new containers on an ongoing basis at our strictly managed container manufacturing facilities. 12 in which union electricians gave up the equivalent of two jobs at the terminal to longshoremen, in hopes that dockworkers would increase productivity, inducing Hanjin to continue weekly calls.
Port officials expect Hanjin's decision on Portland will be made at Hanjin's headquarters in Seoul.
But the International Longshore and Warehouse Union never publicly agreed to increase the number of containers moved per hour by its members.

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