October Brings Fourth Straight Rebound in U.S.-Flag Float

U.S.-Flag Lake carriers hauled 11.8 million net tons of dry-bulk cargo on the Great Lakes in October, an increase of 6.7 percent compared to a year ago.  October's increase marks the fourth consecutive month in which U.S.-Flag carriage has outpaced last year and has reduced the gap with 2001 to 2.8 percent.

It is important, however, to understand these comparisons in the proper context.  The 2001 navigation season was beset with problems related to domestic steel production.  Turn the calendar back to 1997, the last year of full utilization of the nation's steelmaking capacity, and the monthly U.S.-Flag float routinely approached or even topped 14 million tons.  Continued reduced demand for iron ore and sluggish orders for aggregate from the construction industry throughout 2002 have kept four U.S.-Flag lakers idle for what now will certainly be the entire season, so the past four months are just the beginning of the voyage back to normalcy.

 U.S.-FLAG CARRIAGE
OCTOBER AND SEASON-TO-DATE: 2002 - 2001
(net tons)

Commodity

October 2002

October 2001

S-T-D 2002

S-T-D 2001

Iron Ore
Direct Shipments4,769,602 4,416,929 35,272,353 35,449,904
Transshipments426,195 217,2431,545,5982,828,381

Total - Iron Ore

5,195,797 4,634,172 36,817,951 38,278,285
Coal
Western1,710,732 1,437,003 10,813,419 10,963,769
Eastern905,053 1,146,015 6,242,174 6,062,127

Total - Coal

2,615,785 2,583,018 17,055,593 17,025,896
Limestone3,378,615 3,136,706 21,800,93621,961,198
Cement394,816 459,1063,025,279 3,333,705
Salt103,14975,098 498,999593,644
Sand36,505 95,730184,359 507,761
Grain65,421 64,915264,151 243,661
Totals 11,790,088 11,048,745 79,647,268 81,944,150

In addition to the U.S.-Flag Lakes operators who comprise Lake Carriers' Association, this survey includes Andrie, Inc. (cement only), Great Lakes Associates (grain), Hannah Marine Corp. (cement only), Pere Marquette Shipping Company and Upper Lakes Towing Company, Inc. (both various dry-bulk cargos).
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DATE OF PUBLICATION: November 19, 2002

For more information, contact Glen Nekvasil (216-861-0592 / ggn@lcaships.com).

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