New York Metropolitan Transportation Council,
Brown Bag Seminar, April 16 2007
Intermodal Transportation and
Commodity Chains: New York
and the Global, Regional and
Local Nexus
Jean-Paul Rodrigue
Associate Professor, Dept. of Economics &
Geography, Hofstra University, New York,
USA
Email: ecojpr@hofstra.edu
Paper available at:
http://people.hofstra.edu/faculty/Jean-paul_Rodrigue
New York as a Nexus: Commodity Chains
and Transportation
Production
Distribution
Global
Regional
Gateways
Corridors
Local
Consumption
Terminals
Commodity
Chains
Transportation
Integrated Transport Systems
The Global Nexus: Commodity Chains and
Global Production Networks

Global Production Networks
Container Ports as Gateways
Integrated Transport Systems
UPS Willow Springs Distribution Center, Chicago
Spaces, Networks and Flows in a Global
Economy
■ Globalization; a clustered and
spatially diffused process
• In terms of production and
consumption.
• Distribution is reconciling
spatially diverse demands for
raw materials, parts and finished
goods.
■ The backbone of globalization
• Networks are established to
support distribution.
• Nodes are regulating the flows
within networks.
• As international trade increases,
nodes have become strategic
locations.
Commodity Chains and Added Value
High
Globalization
Added value
R&D
Sales / Service
Marketing
Branding
Distribution
Design
Concept
Manufacturing
Low
Commodity chain
Logistics
Disconnection of Global Production and
Distribution
R&D
Distribution
Core
Base
Manufacturing Base
Marketing / Retail
The Emergence of Global Production
Networks
Flows
Network
Bulk shipping
Stage
■ The Logistical Nexus
High volumes
Low frequency
Transport Chain
Commodity Chain
Parts and raw
materials
Unit shipping
Manufacturing
and assembly
Average volumes
High frequency
LTL shipping
Distribution
Low volumes
High frequency
Market
GPN
Market
• Fast growth of international trade
with the full realization of
comparative advantages.
• Geographical and functional
integration of production,
distribution and consumption.
• Commodity / Supply Chains.
• Transportation integrated in the
production / retailing process.
• Global Production Networks
(GPN).
• Logistical poles where value
added activities are
performed.
• Entirely new nodal locations.
Traffic at the 50 Largest Container Ports,
2004
Tacoma
Seattle
Oakland
Los Angeles
New York/New Jersey
Charleston
Dubai
Long Beach
Jeddah
Salalah
Nhava Sheva
Colombo
Traffic 2004 (TEU)
Less than 2 million
2 to 4 million
Santos
4 to 7 million
Durban
7 to 10 million
Melbourne
More than 10 million
Pacific Asia
Tianjin
Laem Chabang
Port Kalang
Guangzhou
Tanjung Pelepas
Singapore
Tanjung Priok
Manila
Hamburg
Bremen/Bremerhafen
Rotterdam
Antwerp
Felixstowe
Dalian
Quingdao
Shenzhen
Shanghai
Yanti an
Ningbo
Hong Kong
Kaohsiung
Keelung
Europe
LeHavre
Busan
Nagoya
Kobe
Osaka Tokyo
Yokohama
Barcel ona
Valencia
Gioia Tauro
Algeciras
Integrated Transport Systems: From
Fragmentation to Coordination
Factor
Cause
Consequence
Technology
Containerization & IT
Modal and intermodal
innovations; Tracking
shipments and managing fleets
Capital investments
Returns on
investments
Highs costs and long
amortization; Improve utilization
to lessen capital costs
Alliances and M & A
Deregulation
Easier contractual agreements;
joint ownership
Commodity chains
Globalization
Coordination of transportation
and production (integrated
demand)
Networks
Consolidation and
interconnection
Multiplying effect
Major US Modal Gateways, 2004
Air Gateways
Exports
Land Gateways
Imports
Port of Blaine
$68 Billion
$64 Billion
Seattle-Tacoma International
Port of Seattle
Exports Port Gateways
Exports
Imports
Imports
$81 Billion
Port of Sweetgrass
Port of Pembina
Port of Tacoma
Port of Champlain-Rouses Pt.
Port of Portland
Port of Alexandria Bay
Port of Buffalo-Niagara FallsBoston Logan Airport
Port of Huron
Chicago
JFK International Airport
Port of Detroit Cleveland
Port of New York
San Francisco International Airpor
Port of Philadelphia
Port of Oakland
Port of Baltimore
Port of Norfolk Harbor
Los Angeles International Airport
Atlanta
Port of Los AngelesPort of Calexico-East
Port of Otay Mesa Station
Port of Nogales
Port of El Paso
Dallas-Fort Worth
Port of Charleston
Port of Long Beach
New Orleans
Port of Morgan City
Port of Laredo
Port of Savannah
Port of Jacksonville
Port of Beaumont Port of New Orleans
Port of Houston
Miami International Airport,
Port of Corpus Christi
Port of Brownsville-Cameron
Port of Hidalgo
Port of Port EvergladesPort of Miami
The Three Main Gateways of North America
Gateway
System
Gateways
Southern
California
Port of Los Angeles, Port of
18.3%
Long Beach, Los Angeles
International Airport, Otay Mesa
(Port of Entry)
$255.9
$77.8
New York / JFK International Airport, Port of 13.1%
New Jersey New York / New Jersey
$163.0
$75.8
Detroit
$97.9
$81.8
Detroit (Port of Entry), Huron
(Port of Entry)
Total
Imports / Exports
share (%) ($ billions) 2004
9.8%
The Regional Nexus: Freight Distribution,
Gateways and Corridors

Intermodalism and Transmodalism
Corridors
Translisft crane, NS Rutherford yard, PA
Intermodal and Transmodal Operations
Intermodal Operations
Transmodal Operations
Port container yard
Intermodal Terminal
MARITIME
On-dock rail
RAIL
Transloading
ROAD
DCs / CD
Thruport
Ship-to-ship
Intermodal Transport Chain
‘Last mile’
Composition
Interchange
Transfer
‘First mile’
Local / Regional Distribution
Decomposition
National / International Distribution
Transport Terminal
Main North American Trade Corridors and
Metropolitan Freight Centers
Edmonton
Calgary
Vancouver
Winnipeg
Seattle
Halifax
Portland
Montreal
Minneapolis
Toronto
Boston
Detroit
Chicago
Salt Lake City
Pittsburgh
Philadelphia
Baltimore
San Francisco
Denver
Cincinnati
Kansas City
St. Louis
Norfolk
Charlotte
Los Angeles
San Diego
New York
Cleveland
Oklahoma Ci ty
Memphis
Phoenix
Atl anta
Charleston
Dallas
Hub
Gateway
Houston
New Orleans
Miami
Level of Congestion of the Interstate
Highway System
The Local Nexus: Terminals

Terminalization of Ports
Port Regionalization
APL “Australia” entering San Francisco Harbor
The Value Capture Process along
Commodity Chains
Port Authority
Maritime Services
Port Services
Inland Services
Port Holding
Vertical Integration
Maritime
Shipping
Port Terminal
Operations
Horizontal Integration
Inland Modes
and Terminals
Commodity Chain
Distribution
Centers
Logistics: Soft Pressures on Hard Assets
Customer
Shipper
Demand Pull
Transport
Infrastructural
Locational
Valorization
Logistical
Port Holdings as Elements of the Maritime /
Land Interface
■ Horizontal integration using fixed
assets
• More than 40% of global
containerized traffic (2006).
• Gain a foothold in a wide variety of
markets (strategic positioning).
• Financial assets.
• Managerial expertise.
• Gateway access.
• Leverage.
• Traffic capture.
• Global perspective.
Global Port Terminal Ownership, 2001
Other Private
Port Authorities
Ocean Carriers
Global Port
Holdings
0
10
20
30
40
Share of global port container throughput
Share of global terminal ownership
50
Majort Port Holdings, 2007
Dedicated Maritime Container Terminals
APM Terminals
Dubai Ports World
Hutchison Port Holdings
Port of Singapore Authority
Eurogate
Stevedoring Services of America
Pacific Asia
Europe
Dr. Jean-Paul Rodrigue, Dept. of Economics & Geography, Hofstra University
The Spatial Development of a Port System:
Towards Regionalization
Phase 2: Penetration and hinterland capture
Phase 1: Scattered ports
LAND
SEA
Phase 3: Interconnection & concentration
Phase 4: Centralization
Phase 5: Decentralization and insertion of ‘offshore’ hub
Phase 6: Regionalization
Load center
Interior centre
Freight corridor
Deepsea liner services
Shortsea/feeder services
Regional load centre network
Millions
Cargo Handled by the Port of New York,
1991-2006 (metric tons)
90
80
70
Bulk Cargo Exports
General Cargo Exports
Bulk Cargo Imports
General Cargo Imports
60
50
40
30
20
10
0
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
Annual Traffic at Some NY / NJ Crossings,
2005 (millions of vehicles)
Staten Island bridges
Holland Tunnel
Lincoln Tunnel
GWB
0
10
20
30
40
50
60
Truck Freight Corridors
New York
New Jersey
TZB
8.4
23.2
7.8
GWB
7.4
Bronx
5.2
LT
5.7
8.6
TBB
WSB
TNB
LGA
HT
BBT
EWR
6.4
GTB
BYB
QMT
Queens
4.2
1.9
Brooklyn
JFK
VZB
OCB
4.8
1.5
8.4
Major Crossing
2.0 1,000 of Trucks per Day (2000)
About 70 million truck crossings per year
Rail Freight Corridors and Port Facilities
New York
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Queens
Brooklyn
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Port Terminal
Intermodal Terminal
0
2.5
5
10
15
20
25
Miles
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Intermodal Facilities and Navigation Channels of
the Port of New York, 2007
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Port
Newark
Red Hook
40
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2
Upper Bay Channel
50
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Global
Marine
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1
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Red Hook
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Albers Equal-Area Conic Projection
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43
Newark Bay
!( 40 Channel
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Hudson River 45
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1- Port Newark
2- Port Elizabeth
3- Global Marine
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East River !(
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Port
Elizabeth
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South Brooklyn
!( !( !(!(
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Howland
Hook
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50 Kill Van Kull
Channel !(
2000
4000
6000
8000
10000
Daily Truck Movements (one way), 2001
Howland Hook
50
Arthur Kill Channel
The Narrows
!(
!(
Navigation Channel
Ambrose Channel
50
!(
30
Main Ship Channel
!(
(!
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45
Control Depth (feet)
Intermodal Terminal
!(
37
Arthur Kill Channel
!(
37
Container Port (proposed)
Raritan Bay Channel
!(
Major Highway
4
2
0
4 Miles
Proposed rail tunnel
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