Is it too many full or empty containers?
If full is the root cause a lack of truckers?
If empty then why aren't boats picking up the empty containers when they leave?
Is it too many full or empty containers?
If full is the root cause a lack of truckers?
If empty then why aren't boats picking up the empty containers when they leave?
1. Get full containers out of ports to make room for empties
2. Bring empties back to port and queue them up
3. Unload a bunch of fulls and reload a bunch of empties onto every ship that comes into port
Right now there's no room to store empties do they're being stored on trailers. Which means there are no trailers to unload full containers onto. So nothing is being unloaded. Deadlock.
I think we have mismatched incentives that allow something like Tragedy of the Commons.
As best I can tell, there's a memory leak, and we've "solved" it by doubling our RAM. We need to fix the leak before we hit deadlock again.
I see this as we are quickly approaching deadlock conditions. People are used to restarting a Windows box, but I’m pretty sure that only fixes deadlocks because RAM is (mostly) volatile. The physical containers (whether at ports or lots or warehouses or on ships or on rail cars) don’t disappear after we “restart” any part of the system. Without actively adjusting incentives, this looks like a downward spiral to me.
There is a lack of empty containers in Asia and a glut in the US. There are all sorts of constraints in the US like how high a stack is allowed to be (presumably for safety or sightly reasons). There are too many containers in the US on chassis so there is a shortage of empty chassis available to take to ports. Distribution centers are reporting that truck drivers are dropping off trucks overnight and blocking their loading docks. There are reports that loaded cargo trains are unable to load so they are just blocking critical tracks.
The Twitter thread is from the CEO of FlexPort which is a startup trying to make ports and trust transport more efficient. He is pointing out critical paths in the port nodes of the supply chain graph, but the root causes are many and not necessarily all within his visibility.