The Port of Los Angeles moves cargo in and out of Southern California, and those costs flow into the price of nearly everything you buy

The Port of Los Angeles is a publicly owned facility in San Pedro, California, operated by the City of Los Angeles. It is the busiest container port in the United States by volume. Ships carrying goods from Asia, Europe, and other regions dock here, unload cargo into containers, and reload containers bound for other destinations. The port does not own the ships or the cargo — it owns the docks, the cranes, the storage yards, and the equipment that moves containers on and off vessels.

When you buy clothing, electronics, furniture, or car parts, many of those items passed through this port. The fees the port charges for docking, storage, and handling get passed along to importers, who pass them along to retailers, who pass them along to you. Port congestion, labor disputes, equipment breakdowns, and shipping delays at Los Angeles directly affect how fast goods reach stores and how much they cost.

Understanding how the port operates helps explain why shipping delays happen, why some goods cost more during certain seasons, and what "port congestion" means when you hear it in the news.

Key Takeaways

  • The Port of Los Angeles is owned by the City of Los Angeles and handles about one-third of all container traffic entering the United States.
  • Shipping costs and delays at the port are built into the retail prices you pay for imported goods.
  • The port operates 24 hours a day, but congestion, equipment failures, and labor shortages can slow cargo movement for weeks or months.
  • Port fees include docking charges, container handling fees, storage fees, and equipment rental — all of which importers factor into their pricing.
  • Major disruptions at the port (labor strikes, equipment outages, or shipping surges) can cause price increases and product shortages across the country.

Who owns and runs the Port of Los Angeles

The Port of Los Angeles is owned by the City of Los Angeles and governed by a Board of Harbor Commissioners appointed by the mayor. The port is not a private company — it is a public agency that operates like a business. It generates revenue by charging fees to shipping companies, importers, exporters, and trucking companies that use its facilities.

The port employs about 600 people directly — crane operators, equipment technicians, security staff, and administrative workers. However, thousands more work at the port indirectly: longshoremen (dock workers) who load and unload ships, truck drivers who haul containers, warehouse workers, and customs brokers. Most of these workers are employed by private companies that contract with the port or with shipping lines, not by the port itself.

The International Longshore and Warehouse Union (ILWU) represents the dock workers at Los Angeles. Labor negotiations between the ILWU and the Pacific Maritime Association (which represents shipping companies) directly affect how smoothly cargo moves. When negotiations stall or strikes occur, the entire port can slow down or shut down.

What cargo moves through the Port of Los Angeles

The port handles about 9 to 10 million containers per year, though the exact number varies by year and by global shipping patterns. Most containers are import containers — goods coming into the United States from other countries, primarily from Asia. These include clothing, shoes, electronics, toys, furniture, appliances, and auto parts.

The port also handles export containers — goods leaving the United States, primarily agricultural products (grain, hay, fruit), scrap metal, and recycled materials. However, imports far outnumber exports. This imbalance means empty containers often have to be shipped back to Asia, which adds to port congestion.

A smaller volume of cargo moves through the port as breakbulk cargo — goods that are not containerized, such as steel coils, lumber, or heavy machinery. The port also handles some automobiles, though most cars arrive at separate auto terminals.

How port fees affect the price you pay

When a shipping company brings a container into the Port of Los Angeles, it pays multiple fees to the port authority. These include a docking fee (based on the ship's size), a container handling fee (per container moved), a storage fee (if the container sits in the yard longer than a certain number of days), and equipment rental fees (for chassis, forklifts, or other equipment).

An importer also pays fees to the shipping line itself (the ocean freight charge), to the trucking company that hauls the container away from the port, to customs brokers who handle paperwork, and to warehouses if the goods are stored before being sold. All of these costs are added together and divided across the shipment. For a container holding 1,000 pairs of shoes, the port fees might add 50 cents to $2 per pair, depending on the container size and how long it sits at the port.

When the port is congested and containers sit in the yard for weeks instead of days, storage fees increase. When equipment breaks down and containers have to wait to be unloaded, demurrage charges (daily storage fees) accumulate. These costs get passed to the importer, who passes them to the retailer, who passes them to you.

Port congestion and what causes it

Port congestion happens when more containers arrive than the port can process. This can occur for several reasons: a surge in holiday shopping (September through November), a backlog from a previous closure, equipment breakdowns, labor shortages, or a spike in imports from a particular region.

During the COVID-19 pandemic (2020–2022), the Port of Los Angeles experienced severe congestion. Ships waited weeks to dock, containers piled up in the yard, and trucking companies could not pick up cargo fast enough. This congestion contributed to product shortages and price increases across the country. The port added extra shifts and extended operating hours, but the backlog took months to clear.

Congestion is measured in different ways. The port publishes vessel queue data — the number of ships waiting to dock — and container dwell time — how long a container sits in the yard before being picked up. When dwell time exceeds 10 days, the port is considered congested. When it exceeds 20 days, it is severely congested.

Labor and equipment challenges at the port

The Port of Los Angeles operates 24 hours a day, but it does not always run at full capacity. Labor shortages among dock workers can slow operations. Equipment failures — a broken crane, a malfunctioning gate system, or a failed truck scale — can shut down entire terminals for hours or days.

In 2022, the port faced a severe crane shortage. Some cranes were out of service for maintenance or repair, and the port did not have enough equipment to handle the volume of ships waiting to dock. The port ordered new cranes, but they take 18 to 24 months to build and deliver. This meant congestion persisted for months even after labor and shipping patterns improved.

The port also depends on trucking companies to haul containers away from the docks. When truck drivers are scarce or when trucking rates spike, containers can sit at the port longer because importers cannot afford to move them. This creates a bottleneck that slows the entire system.

How to track Port of Los Angeles activity

The Port of Los Angeles publishes real-time data on its website about vessel arrivals, container volumes, and port congestion. You can see how many ships are waiting to dock, how long containers are sitting in the yard, and which terminals are operating at what capacity.

If you work in retail, logistics, or import-export, monitoring port data helps you understand when goods will arrive and when shipping delays might occur. If you are a consumer, port data can explain why certain products are in short supply or why prices spiked in a particular month.

News outlets and supply chain tracking services also report on port conditions. When major disruptions occur — a labor strike, a terminal closure, or a severe backlog — these are reported widely because they affect prices and availability across the country.

Frequently Asked Questions

What happens if the Port of Los Angeles shuts down?

A shutdown (usually due to a labor strike or a major equipment failure) stops all cargo movement. Ships cannot dock, containers cannot be unloaded, and trucking companies cannot pick up cargo. A shutdown lasting more than a few days creates a backlog that takes weeks to clear. Importers reroute shipments to other ports (Oakland, Long Beach, or ports on the East Coast), which increases shipping costs and delays delivery.

Why do shipping costs spike during certain months?

Shipping costs increase when demand is high (September through November for holiday goods) and when port congestion is severe. When containers sit at the port longer, storage fees increase. When ships have to wait to dock, shipping lines add surcharges to cover the delay. These costs are passed to importers and eventually to consumers.

Can I visit the Port of Los Angeles?

The port itself is not open to the public. However, the Los Angeles area has museums and waterfront areas where you can see port operations from a distance. Some tour companies offer port tours by boat. Security is strict because the port is a critical infrastructure facility.

How does the Port of Los Angeles compare to other U.S. ports?

Los Angeles is the busiest container port in the United States. The Port of Long Beach (adjacent to Los Angeles) is the second busiest. Together, these two ports handle about one-third of all container traffic entering the country. East Coast ports (New York, Savannah, Charleston) handle the remaining two-thirds, but they are farther from Asia, so shipping times are longer.

What is the difference between the Port of Los Angeles and the Port of Long Beach?

They are separate facilities operated by different agencies (Los Angeles and Long Beach, respectively), but they are adjacent and function as a single complex. Some shipping companies use both ports. Together they are called the San Pedro Bay ports. Congestion at one port often affects the other because trucking capacity and labor are shared.