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CMA CGM offers financial incentives to ease California congestion

CMA CGM will implement an Early Container Pickup Incentive Program at ports of Los Angeles and Long Beach that will be effective from 1 December and valid for 90 days, as an effort to improve the US ports’ import gateways fluidity.

“The freight movement in the ports of Southern California has been dramatically slowed across all modes of transport due to the congestion that is leading to exceptionally long container dwell times,” said the company in a statement.

Hence, the French container line decided to offer an incentive program, estimated to exceed US$22 million over 90 days, that will be provided to the importers who pick up their containers via merchant haulage from all the terminals of the twin ports in the first eight days, with the intent that they will use it to balance costs incurred by the current supply chain pressures.

The incentive will be as follows:

  • US$100 per container for daytime pickup from Monday to Friday
  • US$200 per container at night and on weekends

Additionally, CMA CGM has announced that it will provide financial support to the Fenix Marine Services terminal to expand its operating hours so that containers can be picked up day and night, seven days per week.

The French Group is also deploying a range of solutions as a response to the increased pressure on capacity and ports in North America, such as the addition of 14 extra loaders and the increase of available chassis by five times since the beginning of the pandemic.

Furthermore, CMA CGM said it will increase capacity by up to 16% to and from the United States in the coming months in order to meet consumer demand.

“By incentivising the movement of containers off the terminals and ensuring pickups can be made on nights and weekends at FMS, we will decrease truck turn times and expedite the flow of goods into the United States,” stated Ed Aldridge, President of CMA CGM and APL North America.





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