Trade and deficit concerns have recently emerged as significant challenges for the U.S. economic outlook. New data indicates a continued decline in shipping containers carrying U.S. imports, marking the second consecutive monthly drop. This trend is setting the stage for one of the most significant year-on-year reversals on record, largely attributed to ongoing trade tensions under President Donald Trump’s administration.
According to veteran industry analyst John McCown, whose findings are based on a monthly report covering the 10 largest U.S. ports, inbound container volume decreased by 7.9% in June compared to the same period last year. While similar declines were observed during the global financial crisis and the pandemic, those were short-term downturns. In the current scenario, McCown estimates that a 25% reduction in U.S. container volumes is “readily possible” and could result in “a $510 billion reduction in annual commerce for the U.S.”