Containerization has risen to greater national prominence over the past two years, propelled by online spending, record import volumes, and a shift in consumers buying goods instead of services.
Late last year, we finally began to see imports level off. Rising inflation and recessionary threats in many countries slowed cargo volumes. Experts predict market dynamics will signal a change in consumer buying patterns, offering a chance for supply chains to catch up.
Still, even up against this backdrop, we’re on track to equal import volume records in 2022, matching 2021’s record of 25.8 million TEU. Consumer demand remains strong, up 7.2 percent in the first nine months of 2022. Surplus inventories at warehouses and stored containers on equipment at yards and terminals are causing street dwell times to remain more than double pre-pandemic levels.
To meet these challenges and improve fluidity, TRAC is focusing on safety, investment, available inventory, and collaboration. TRAC’s investment in expanding and modernizing our fleet totals over $1 billion since 2015. We reduced out-of-service levels to 2 percent, improving upon record lows in 2021 and allowing us to relieve pinch point locations, which were reduced by 40 percent in 2022. TRAC and its customers continue to advocate for neutral/competitive chassis pools, which offer the most modernized fleet while delivering best-in-class choice, fluidity, and customer service. These benefits are further enhanced when terminals and railyards are grounded, with chassis inventory kept at convenient, nearby off-terminal locations.
In addition, we’re collaborating with key industry stakeholders to meet supply chain challenges head-on, taking a leadership role and contributing our time and expertise through several private sector and government-led initiatives.
As we look to 2023, we want to thank our people and partners for meeting unique industry challenges with persistence, hard work, and innovation. The upcoming year will certainly bring its share of headwinds, but we will meet the challenge utilizing extensive planning and execution, showing that we will once again see a positive outcome through the dedicated effort of a strong team.