Chassis Study For Shortage Solutions
One of the key contributors to supply chain congestion since the e-commerce boom has been a shortage of chassis for container drayage. From larger vessels bringing in more boxes, to chassis being held longer because of more goods and limited warehouse space, old equipment, higher cost of imported chassis due to tariffs, it has evolved into quite the complicated issue.
Some ports have been trying to solve this issue for themselves. Such as the South Carolina Ports Authority (SCSPA) creating their own chassis pool, to the Port of Houston partnering with the US Department of Agriculture (USDA) to purchase over 1,000 new chassis to help clear congestion and keep cargo moving.
It’s not enough. Congestion isn’t a tangle that can be unspooled on a piecemeal basis without a nationwide strategy. To that end, the Federal Maritime Commission (FMC) has partnered with the National Academy of Sciences (NAC), awarding them a $500,000 contract, under the power of the Ocean Shipping Reform Act of 2022 (OSRA 22) to perform a study of these chassis pools. The objective of the study, per the FMC, is to: A.) Consider whether the existing chassis pool models have aligned incentives in ownership, management, repair, and provisioning that facilitate supply chain effectiveness, and B.) Evaluate efficiency-enhancing communications, information sharing, and knowledge management practices across chassis pool models.
The end result will be recommendations and best practices for chassis pool management at ports. The NAC is looking for people who are interested in serving on the committee and those who are interested can learn more here.
Until we see the results from this study, and best practices implemented, congestion and delays will still present challenges that require elasticity and strategy to mitigate. With Bestway as your trusted partner, you can count on us to guide you around these obstacles with an experienced hand and superior service. Contact our team today to experience the best way with Bestway.