Ports America, which runs operations at numerous ports in the U.S., is terminating a 50-year lease with the port of Oakland and will cease cargo operations within 30 days.
In a statement, Ports America said its joint venture in Oakland’s Outer Harbor Terminal would be returning the leased property back to the port. The company will instead focus on investing in terminal operations in other cities, including its existing locations at Port of Tacoma, Port of Los Angeles and Port of Long Beach.
This concerning new arrives as the largest terminals in Oakland continue to struggle with turn times. It is a possibility moving Ports America cargo to other terminals will cause congestion equal to or greater than the peak of the congestion during labor issues in earlier in 2014 and 2015.