Long Beach Dismisses Proposed Los Angeles Merger

Posted by Michelle Howard
Friday, April 11, 2014
West coast rival: Long Beach is opposed to the merger with its long-time rival. Photo: Paul Ottaviano

A proposal by the LA 2020 Commission to merge the ports of Los Angeles and Long Beach – the two busiest container ports in the US – has been slated by Long Beach leaders for being “condescending and disrespectful”.

 

The Commission made the recommendation in its A Time for Action report, along with 12 other recommendations on minimum wage and promoting regional tourism, and defended its proposal by saying it will “put the city on a path to fiscal stability and renew job creation”.
 


“Los Angeles and Long Beach should parlay their individual successes into a combined port to enhance their overall competitive position — a one-two punch, if you will,” the Commission said in its report.
 


Together, the ports form the fifth busiest port facility in the world (busiest in the Western Hemisphere), yet the region has lost 5% of the nation’s market share in the past 10 years.
 


But, while it's understood the Port of Los Angeles (POLA) says it’s willing to discuss the opportunity, its Long Beach rival is said to be less open to the “awful idea”.



Doug Drummond, president of the Long Beach Board Harbour Commissioners, told Port Strategy: “The Port of Long Beach is not interested in a merger with our neighbour. For more than 100 years, the two neighbouring seaports have grown and thrived, side by side, run by separate port authorities. I can assure you that the Port of Long Beach is better run by the citizens of Long Beach."



Tensions are already high following Los Angeles’ approval of the BNSF Railway US$500m Southern California International Gateway project, which would allow BNSF to handle up to 2.8 million container units from the ports, despite the traffic and economic impact it will have on Long Beach neighbourhoods. POLB was unavailable for comment.



Despite not consulting with Long Beach on the idea, the LA 2020 Commission is hopeful that the merger will be seen as a step in the right direction.



“With the ongoing widening of the Panama Canal, maritime trade is about to get a lot more complex — and competitive. We should be competing with ports in other regions, not with each other. This kind of regional cooperation happens elsewhere," the Commission added.



It referred to the example set by New York and New Jersey, which formed to co-operate for a “brighter shared future” and is now the third largest port in the US. Earlier this year, the ports of Seattle and Tacoma, also agreed to co-operate to share information about operations, facilities and rates to help Puget Sound compete in a shifting global maritime industry.



The Commission’s report will be presented and reviewed to the full Los Angeles City Council in the coming weeks.

 

Maritime Reporter July 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Ports

Anchorage Area Obstruction in Freeport

Brazos Pilots Association in Freeport, Texas, advise that a 600-700' long wire is presenting a hazard to vessels in the north Freeport general anchorage. According to advice from the Association,

Neeraj Bansal Appointed Deputy Chairman of JNPT

The Government of India has appointed Neeraj Bansal as Deputy Chairman of India's largest container port,  Jawaharlal Nehru Port Trust with immediate effect. Mr

Port of Long Beach Chooses APS Crane OCR System

APS Technology Group, a member of the ABB Group and a leading provider of optical character recognition (OCR) and process automation technology solutions for marine and intermodal container terminals,

Finance

Seadrill's Q2 2014 Revenue Holds Nearly Steady

Revenues for the second quarter of 2014 were US$1,222 million compared to US$1,221 million in the first quarter of 2014, according to the company's financial report.

COSCO Resorts to Rate Restoration for F. East to S Africa Trade

COSCO Container Lines would like to announce Rate Restoration for all shipments (include reefer cargo) from Far East to South Africa Trade and take effect from September 1, 2014.

MN 100: Crowley

9487 Regency Square Boulevard Jacksonville, FL 32225 Tel: (800) 276-9539 Email: corpcomm@crowley.com  Website: www.crowley.com Chairman & CEO: Thomas B.

Container Ships

Pariah Containership Banned from Australian Ports

The Australian Maritime Safety Authority (AMSA) informs that it has issued a direction to the container ship 'Vega Auriga' (IMO 9347786) that prohibits the ship

COSCO Resorts to Rate Restoration for F. East to S Africa Trade

COSCO Container Lines would like to announce Rate Restoration for all shipments (include reefer cargo) from Far East to South Africa Trade and take effect from September 1, 2014.

Port of Long Beach Chooses APS Crane OCR System

APS Technology Group, a member of the ABB Group and a leading provider of optical character recognition (OCR) and process automation technology solutions for marine and intermodal container terminals,

News

COSCO Resorts to Rate Restoration for F. East to S Africa Trade

COSCO Container Lines would like to announce Rate Restoration for all shipments (include reefer cargo) from Far East to South Africa Trade and take effect from September 1, 2014.

Anchorage Area Obstruction in Freeport

Brazos Pilots Association in Freeport, Texas, advise that a 600-700' long wire is presenting a hazard to vessels in the north Freeport general anchorage. According to advice from the Association,

Neeraj Bansal Appointed Deputy Chairman of JNPT

The Government of India has appointed Neeraj Bansal as Deputy Chairman of India's largest container port,  Jawaharlal Nehru Port Trust with immediate effect. Mr

Mergers & Acquisitions

CEVA Expanding Presence in Southern California

CEVA Logistics, one of the world’s leading supply chain management companies, today announced plans to expand its presence in the San Diego market with a new

Transnet National Ports Authority Orders 9 Voith Water Tractors

In South Africa’s largest local shipbuilding contract Transnet National Ports Authority has ordered nine new Voith Water Tractors (VWT) for use in several ports across the country.

Rolls-Royce Acquires Power Systems Unit

Rolls-Royce today announced the completion of its acquisition of Rolls-Royce Power Systems (RRPS).  The move follows an announcement made on March 7, 2014 that

 
 
Maritime Contracts Maritime Security Naval Architecture Navigation Offshore Oil Pod Propulsion Port Authority Salvage Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1993 sec (5 req/sec)