LONG BEACH, CALIFORNIA - SEPTEMBER 30 : Cargo ships and containers sit idle in the Port of Los Angeles as workers staged a slow-down after shipping companies locked them out from working after a weekend labor dispute, September 30, 2002 on Terminal Island area of Long Beach, California. (Photo by Bob Riha, Jr./Getty Images)
Long Beach, California – Southern California’s shipping industry—long the heartbeat of America’s supply chain—is reeling as sweeping tariffs and mounting trade tensions throttle the flow of goods through the twin ports of Long Beach and Los Angeles.
The Port of Long Beach, which handles nearly 15% of all containerized cargo bound for the U.S., is now facing a dramatic slowdown. Mario Cordero, the port’s executive director, said the uncertainty surrounding the U.S. trade war—especially with China—is beginning to choke off critical volumes of imports.
“We’ve had 34 canceled sailings through the end of June,” Cordero told Newsweek. “That clearly indicates fewer vessels will be arriving—and that, of course, means lower volume.” At the neighboring Port of Los Angeles, there have been another 36 cancelations. Combined, 70 vessels once scheduled to arrive this spring have now been cut—amounting to an estimated 400,000 shipping containers not reaching American shores.
The slowdown stems from a volatile tariff policy, with levies as high as 145% now placed on Chinese goods like toys, electronics, and household items. While some products remain temporarily exempt, many U.S. importers are in a holding pattern, unsure whether they should absorb the costs or delay shipments altogether.
“If you’re planning to buy something that could face a high tariff—like electronics—buy it before July 2nd,” Cordero warned, referencing the expiration of a 90-day tariff suspension. “We’re in a moment of radical uncertainty.”
That uncertainty is reshaping trade flows. Early this year, importers raced to frontload shipments ahead of anticipated tariff hikes, with U.S. imports spiking from $268 billion in October to $343 billion by March. But by April, that wave had collapsed. With July’s peak shipping season around the corner, many retailers are stuck in limbo.
“Importers were trying to avoid future tariffs,” Cordero said. “But now, that volume is declining.”
The economic ripple is reaching Southern California’s waterfront workforce. Gary Herrera, president of ILWU Local 13, said union dockworkers already see reduced hours. “Some of the workforce will not be getting their full 40 hours a week… Job loss is definitely a concern.”
And it’s not just China on the chopping block. Up to 51 countries, including Vietnam, could face new tariffs. “This issue isn’t limited to China,” Cordero added.
Despite the chaos, Cordero remains cautiously hopeful. “If negotiations progress, we may avoid the worst.”
