The Port of Oakland is one of busiest container ports in the U.S., and it loads and discharges more than 99 percent of the containerized goods moving through Northern California.
Moffatt & Nichol provided commercial advisory services regarding potential financing for a confidential client at its facility in Oakland, California. The client required an evaluation of the competitive and evolving dynamics of the U.S. container market, particularly the impact of these changes on the flow of cargo through the Port of Oakland. We provided an overview of the global container market and trade trends, focusing on changes in global supply and demand, impacts of growing markets, shifts in manufacturing and sourcing locations within Asia, and other emerging trends. We also analyzed the evolution of shipping alliances and vessel sizes.
The dynamics of the U.S. West Coast container market were assessed, and Moffatt & Nichol analyzed market share, drivers of port choice, impacts of near-port real estate, and unfractured development. We provided expert opinion on the risks associated with government policies affecting trade and possible regulatory changes that might impact U.S. trade with its Asian partners, such as embargoes, tariff increases, anti-dumping, and quotas. Moffatt & Nichol carried out analysis on the terminal’s historic performance, client base characteristics, and its competitive position within the Port of Oakland. Our experts identified key demand drivers, highlighting how and why these inputs could change, and thus impact growth projections. Moffatt & Nichol also developed cargo volume projections to include various base, upside, and downside scenarios.