Iron Ore Woes Hit U.S. and Canadian Great Lakes Ports

Despite solid performances by the stone and coal trades, shipments of the leading dry-bulk commodities from U.S. and Canadian Great Lakes ports fell nearly 4 percent in September to 16.6 million net tons. As with U.S.-Flag carriage in September, this total represents the second month in a row in which cargo volume fell short of the same period last year.

The Lakes iron ore trade accounted for the decline. With steel imports into the United States at historic highs, iron ore shipments slumped more than 10 percent to just 7.1 million tons. While the season-to-date total still represents an increase of 2.7 percent, a continued avalanche of dumped steel could whittle away that increase by season's end, and in fact, could hasten the close of navigation.

Driven by strong demand from a Canadian utility that is increasing its reliance on fossil fuels, coal loadings increased 4 percent in September to 4.6 million tons. Since the resumption of the coal trade in mid-March, shipments stand at 28.6 million tons, an increase of 7.3 percent

A booming construction industry in the Great Lakes basin boosted the September stone trade 3.7 percent to 4,859,811 tons; the season-to-date total of 28.8 million tons represents an increase of 5.8 percent. Should the stone trade continue at this pace, the 1998 season-end total will represent the fifth year in a row in which stone has set a modern-day record.

Great Lakes Iron Ore, Coal and Stone Trades
U.S. and Canadian Ports
Month of September, 1998
(Net Tons)

Commodity September 1998 September 1997 Season to Date
1998
Season to Date
1997
IRON ORE



Great Lakes 5,858,264 6,659,299 40,980,771 40,192,814
Eastern Canada 1,290,903 1,325,524 8,562,294 7,966,815
Total - Iron Ore 7,149,167 7,984,824 49,543,064 48,159,629
COAL



Lake Erie 2,611,426 2,267,583 15,560,722 14,299,090
Lake Michigan 242,203 445,960 1,602,130 1,768,743
Lake Superior - U.S. 1,712,832 1,538,540 10,781,648 9,841,088
Lake Superior - Canada 63,649 198,890 627,178 716,278
Total - Coal 4,630,110 4,450,973 28,571,678 26,625,199
LIMESTONE, GYPSUM



U.S. Ports 4,253,654 4,153,293 24,623,182 23,724,236
Canadian Ports 606,157 532,871 4,155,813 3,475,113
Total - Stone 4,859,811 4,686,164 28,778,995 27,199,349
Total All Commodities 16,639,088 17,121,961 106,893,737 101,984,177

Note: The above totals are carried almost exclusively by U.S.-Flag and Canadian-Flag lakers. Third-Flag vessels (i.e., salties) occasionally load coal for export overseas.

The ports reporting cargo movement are as follows:

Iron Ore: Minnesota - Duluth, Two Harbors, Silver Bay and Taconite Harbor; Wisconsin - Superior; Michigan - Marquette and Escanaba.

Coal: Ohio - Toledo, Sandusky, Ashtabula and Conneaut; Illinois - South Chicago; Wisconsin - Superior; Ontario - Thunder Bay.

Limestone and Gypsum: Michigan - Calcite, Cedarville, Presque Isle, Port Inland, Drummond Island, Alabaster and Port Gypsum; Ohio - Marblehead; Ontario - Manitoulin Island, Smelter Bay, Bruce Mines and Port Colbourne.


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