News

MARAD 02-06	Contact: Shannon Russell
Monday, February 06, 2006	Tel.: (202) 366-5807

Great Lakes Carriers Expect Cargo Volumes to Grow

Major U.S. carriers on the Great Lakes expect marine cargo volumes to grow over the next five years, according to The Great Lakes Operators 2005 report issued by the Department of Transportation’s U.S. Maritime Administration (MARAD).

Survey participants expressed optimism for growth in Great Lakes bulk cargoes of iron ore, coal, limestone and cement essential to manufacturing, construction and utilities. In addition, those surveyed also indicated that there is potential for new bulk trades such as iron ore briquettes, plastic pellets and scrubbing stone.

Respondents cited stability of the markets and expected growth in traffic as reasons for optimism, fueling their plans to invest in new vessels over the next five years.

“The Great Lakes traffic gives us a reliable measure of the strength of the U.S. economy,” said U.S. Acting Maritime Administrator John Jamian. “The more Americans manufacture, the more they consume, the more goods will flow on the Great Lakes.” The optimism displayed by vessel operators for increased movement of iron ore and coal cargo is especially welcome as they are mainstays of the Nation’s vital steel industry, Jamian added.

Roughly two-thirds of America’s manufacturing facilities are located in the eight-state, Great Lakes region, and over half of domestic steel production is concentrated in this area. Not all replies were optimistic, however. Respondents expressed concern about infrastructure issues, especially insufficient harbor water depth at ports. They cited a critical need for dredging, and for maintenance and repair of locks.

The findings are part of the MARAD Industry Survey Series, and contain information from a survey of U.S. carriers that accounted for 93 percent of Great Lakes domestic traffic in 2004. It is available at http://www.marad.dot.gov/marad_statistics/ and can also be requested by contacting the U.S. Maritime Administration, Office of Data & Economic Analysis, 400 Seventh Street, SW, Room 8107, Washington, DC 20590, Telephone: (202) 366-2267, FAX: (202) 366-8886, E-mail: data.marad@dot.gov

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