Fresh data reveals that the top 10 largest ports in the United States saw a 6.6% year-on-year decline in container volumes last month . This isn't an isolated bad month; it's part of a deepening trend.
Take the nation's largest port complex, Los Angeles and Long Beach. In May 2025, the Port of Los Angeles saw its monthly throughput hit the lowest level in over two years . Specifically, the port handled 716,619 TEUs (twenty-foot equivalent units), a 5% drop from the previous year .
- Imports took a nosedive: Import volumes at LA fell by 9% in May .
- Vessel cancellations skyrocketed: During the same period, 17 scheduled vessel calls into Los Angeles were canceled . At one point, the Port of Long Beach went from an expected 17 vessel arrivals down to just 3 in a single week-a reduction of over 50% .
The primary driver of this "volume carnage" is the chaotic implementation of new U.S. tariffs . The uncertainty has forced importers to hit the pause button.
- Unpredictable Policy: The whipsawing tariff policies have made it nearly impossible for businesses to plan. As Gene Seroka, Executive Director of the Port of Los Angeles, stated, "the uncertainty of fast-changing tariff policies is creating difficulties for consumers, businesses, and labor" .
- Inability to Import: Many U.S. importers, especially small and medium-sized businesses, simply cannot afford the sharply higher costs. They lacked the financial capacity to stockpile goods before the tariffs hit and now cannot afford to import at prices that have, in some cases, more than doubled .
- Goods Stranded at Origin: Mario Cordero, Executive Director of the Port of Long Beach, noted that many goods are being "stranded in China," as importers wait for clearer policy signals before shipping .
⛓️ The Ripple Effect: Pain Across the Supply Chain
The collapse in volume isn't just a port problem; it's triggering a crisis that radiates outward.
- Truckers and Warehouse Workers: With fewer containers to move, truck drivers who once hauled four or five loads a day are now only seeing two or three . Warehouse and logistics companies are scaling back staff as cargo volumes plummet .
- Port Labor in Crisis: The dramatic drop in cargo has led to a situation where, by the end of May and into early June, nearly half of all dockworkers had no work . Overtime has vanished, and shifts are being cut .
- Consumers are Next: The pain will soon reach store shelves. Retailer inventories are only expected to last another 4 to 6 weeks in some cases, after which spot shortages are likely . When goods are available, prices will be significantly higher. The Yale Budget Lab estimates tariffs could raise average prices by 1.5%, costing households nearly $2,500 in annual purchasing power, with low-income families hit hardest .
This isn't a temporary blip. Analysts believe the damage to U.S. container volumes will lead to "multi-year declines" . The uncertainty is projected to persist through 2026 .
The ongoing USMCA review, with a 45-day public comment period ending November 1, 2025, adds another layer of long-term uncertainty to North American trade policy . The decision to extend the agreement for another 16 years or let it expire in 2036 will be a pivotal moment for regional supply chains.
Furthermore, new U.S. port fees targeting ships with links to China, which took effect on October 14, 2025, introduce another variable that will influence carrier routing decisions and could further discourage U.S. trade routes .
While U.S. ports suffer, global maritime trade is showing resilience elsewhere. According to S&P Global Ratings, strong demand outside the U.S. is offsetting weakness in the transpacific . Global container volumes actually grew about 4% over January-July 2025, fueled by robust Chinese exports to developing economies and European imports .
This indicates that carriers are adapting by shifting capacity away from vulnerable U.S. routes to more robust trade lanes, such as between China and the Global South . This global rebalancing suggests the changes to U.S. trade flows may be structural and long-lasting.
The Bottom Line
The "volume carnage" at U.S. ports is a direct and severe consequence of tariff-driven turmoil. The steep declines are rippling through the entire American logistics ecosystem, costing jobs, and threatening product availability and affordability for consumers.
With the expectation of multi-year declines and continued uncertainty, businesses reliant on ocean freight must prepare for a new, more volatile reality. Diversifying supply chains, building in greater flexibility, and planning for higher costs will be essential for navigating the challenging years ahead.
This article was based on reporting from The Loadstar , Hellenic Shipping News , and data from the Shanghai Shipping Exchange , and C.H. Robinson .
About the Author: As part of the team at XMAE Logistics, we cut through the noise to deliver clear, actionable insights on the complex world of global shipping. Follow our blog for more analysis that helps you stay ahead.
