The Atlantic Rim Comparative Issues in North American

The Atlantic Rim: Comparative Issues in North American and European Logistics Annual Conference of the Association of American Geographers, Boston, Massachusetts, April 15 -19 2008 The Terminalization of Supply Chains: North American and European Perspectives Theo NOTTEBOOM Institute of Transport and Maritime Management Antwerp (ITMMA), University of Antwerp, Belgium Jean-Paul RODRIGUE Department of Economics & Geography Hofstra University, Hempstead, New York 11549, USA

The Terminalization of Supply Chains A. North America: The Corridor Effect B. Europe: The Gateway Effect C. Comparative Logistics: Terminalization and the Move Inland 2

A. North America q Gateways and Corridors q The Rail Transportation Question 3

Imports and Exports at Selected US Gateways, 2005

Main North American Trade Corridors and Metropolitan Freight Centers

Alameda Corridor UP & BNSF Railyards CBD UP & BNSF Railyards Thruport Mid-Corridor Trench (10 miles) Port of Los Angeles Port of Long Beach Port of Los Angeles Port Cluster

The Extended Gateway of the Ports of Los Angeles / Long Beach Intra-terminal. On-dock rail yards Near-dock rail yards Marine Terminal Rail Off-dock rail yards Transload facility Off-dock rail yards 16% Non-local destination 13% Non-local destination 22% Local destination Alameda Corridor Non-local destination 34% Non-local destination 2% Warehouse Transload facility Warehouse Truck

North American Rail System 8

Major Rail Corridors Improved since

Average Speed of Class I Railroads, 1945 -2004

Average Freight Train Length, United States

Container Dwell Times at BNSF Rail Terminals Departure Free Dwell Time Additional Charge (Days) (per day) Loaded (same shipper) 6 $25 Loaded (different shipper) Loaded 3 $25 Empty 3 $25 Loaded Empty 1 $25/$50 (after 10 days) Empty 12 Return Empty 0 $25/$50 (after 10 days)

BNSF’s Three Tier Terminal System, 2007 Facility Group Facility Free Dwell Time (days) Charge (per day) 1 $150 1 2 Alliance, TX Atlanta, GA (Fairburn) Chicago (Cicero), IL Houston, TX Oakland Intl. Gateway, CA San Bernardino, CA Seattle, WA (SIG) St. Louis, MO St. Paul, MN Stockton, CA 2 $150 3 13 Kansas City, KS Los Angeles, CA Memphis, TN Albuquerque, NM Amarillo, TX Billings, MT Birmingham, AL Chicago (Corwith), IL Chicago (Willow Springs), IL Denver, CO Dilworth, MN El Paso, TX Fresno, CA Harvard, AR Logistics Park Chicago, IL New Orleans, LA Omaha, NE Phoenix, AZ Portland, OR South Seattle, WA Spokane, WA 2 $100

Automated Transfer Management System for Truck-Rail Transfers

B. Europe 15

Average Dwell Times at Major European Container Terminals (in days) Characteristics Hambur g Rotterda m Antwer p La Spezia Gioia Tauro Import dwell vessel – 6, 4 truck 6, 4 7, 4 Export dwell truck – vessel 4, 6 5, 6 Import dwell vessel – 6, 5 train 6, 5 7, 5 Export dwell train – vessel 4, 7 5, 7 Import dwell vessel – 4, 1 barge 4, 1 5, 1 Export dwell barge – vessel 4, 3 5, 3 Transshipment dwell 16 Bremen - - - 5, 3

Case studies Europe – Rhine-Scheldt Delta Container transferium Extended gate (satellite) Initiated by POR TCT Venlo Extended gate (rail-based) for ECT/HPH

Container transferium

TCT Venlo – extended gate of ECT/HPH

Examples of cases q JVC Belgium + TCT Belgium: extended DC for JVC, extended gate for ECT • Four day rule • Free time Rotterdam = 5 days • Free time TCT Belgium = 21 days • Full containers at TCT = part of stock to JVC Belgium

Source: Flanders Institute for Logistics

Logistics clusters in the province of Limburg (region of Flanders, Belgium) Source: BCI, 2007

Node typology in the province of Limburg (region of Flanders, Belgium) Source: BCI, 2007

C. Comparative Logistics: Inland Terminals and the Move Inland q What are the main differences and similarities? • Differences: • Modes (Truck/Rail vs. Truck/Barge). • Ownership (Private vs. Public/Private). • Similarities: • Function (import based). q Is there a distinct North American (or European) terminalization? • Due to externalities (congestion, environment) Europe • 24 shows a more advanced terminalization. Dwell time pressures indicate a more constraining terminalization in North America.