Port of Los Angeles Warns Potential 35 Percent Drop in Cargo Arrivals Due to Tariffs

The port is expected to see a considerable drop in container shipments next week as a result of new tariffs.

Shipping containers line the Port of Los Angeles, Calif., on March 28, 2025. John Fredricks/The Epoch Times

The Port of Los Angeles, the busiest container port in North America, has warned of a potential 35 percent downturn in cargo arriving at the port resulting from U.S. tariffs starting in early May.

“It’s my prediction that in two weeks’ time, arrivals will drop by 35 percent as essentially all shipments out of China for major retailers and manufacturers have ceased, and cargo coming out of Southeast Asia locations is much softer than normal,” Gene Seroka, executive director of the Port of Los Angeles, said during a Los Angeles Board of Harbor Commissioners meeting on April 24.

In 2024, China was the port’s top trading partner at $120 billion in cargo value, according to the port. The remainder of the top five included Japan, Vietnam, South Korea, and Taiwan.

The Port of Los Angeles reported on April 11 that it saw strong growth during the first quarter of 2025 compared to last year. It processed more than 2.5 million container units, which is a 5.2 percent increase over the previous year.

March 2025 data, however, began to show signs of a slowdown. Loaded exports dropped 15 percent when compared with 2024, while loaded imports grew a modest 1.6 percent over last year.

“Many importers have already brought their goods in early, and as prices begin to rise, consumers will think twice about many purchases,” Seroka said in an April 11 statement.

Seroka said at the time that total cargo could decline by at least 10 percent in the second half of 2025 due to tariff-related issues.

President Donald Trump has placed tariffs of 145 percent on most goods from China, while the country responded with tariffs of 125 percent against the United States.

The tariff situation with China was described as unsustainable on April 29 in a speech by U.S. Treasury Secretary Scott Bessent, who said he expects a de-escalation between the two countries as a result of trade negotiations.

Seroka said trade volume from China will likely remain very light while the tariffs are in effect.

An April 22 Los Angeles County Economic Development Corporation (LAEDC) report estimated that the tariffs could “significantly reduce port activities, leading to negative economic and employment impacts.”

The trade and logistics industry in Southern California contributed nearly $500 billion in regional revenue and supported 2 million jobs in 2022, according to the nonprofit organization.

The National Retail Federation and Hackett Associates’ Global Port Tracker report, released on April 9, foresees a 15 percent or greater net decline in U.S. container port volume in 2025 due to tariffs and decreased consumer demand. Retailers are now relying on existing inventories and awaiting a change in tariff conditions, according to the report.

The Department of the Treasury and the White House did not return a request for comment by publication time.

The Associated Press contributed to this report.