AMO Currents - Lakes cargo float slips in May despite strong ore demand

AMO Currents - Posted: July 1, 2008

Lakes cargo float slips in May despite strong ore demand

Total cargo movement in U.S.-flagged vessels on the Great Lakes fell 2 percent in May compared with the previous year, despite an 8 percent jump in iron ore shipments during the month.

The 11.9 million net tons of dry cargo shipped in May was nearly equal with the five-year average for that month, with the ore float approaching 5.9 million net tons—a reflection of the high operating rates at North American steel mills, according to the Lake Carriers' Association. However, both coal and stone shipments were down more than 200,000 tons from May 2007.

The impact of the dredging crisis remained evident as thousand-footers designed to carry 70,000 tons per trip generally left the docks with less than 64,000 tons of iron ore, according to the LCA. Just two coal cargoes exceeded 65,000 tons in May and smaller vessels also ran with reduced payloads.