Sublime

I knew that the history of containerization would show itself to be a far more absorbing topic than readers imagined, and I figured that economists and logistics specialists might be intrigued by my argument that tumbling transport costs were critical in opening the way to what we now call globalization.

four thousand mile voyage for a shipment might consume 50 percent of its costs in covering just the two ten-mile movements through two ports.” These were the costs that the container affected first, as the elimination of piece-by-piece freight handling brought lower expenses for longshore labor, insurance, pier rental, and the like. Containers were

Some version of this condition exists in most American cities. In downtown Chicago, curbside parking costs one-thirteenth as much as off-street parking.40 The outcome of this market inefficiency is not just congestion and all its attendant woes—pollution, time wasted, slow emergency response—but also reduced revenue to area businesses. This counter

The true importance of the revolution in freight transportation would be found not in its effect on ship lines and dockworkers, but later, as the impact of containerization resonated among the hundreds of thousands of factories and wholesalers and commodity traders and government agencies with goods to ship. For most shippers, except perhaps govern

Finally, Lee was particularly struck by Manucci’s mastery of depreciation, or writing down, which connects the value of an asset to the period for which it will be useful.

When large-scale container shipping finally arrived in Pacific ports beyond Japan, in 1970, the question of whether it would be viable on long-distance routes quickly became laughable. The $36 million East Lagoon complex opened in June 1972, three months ahead of schedule, cementing Singapore’s reputation as an island of efficiency. As the only por

The solution to the high cost of freight handling was obvious: instead of loading, unloading, shifting, and reloading thousands of loose items, why not put the freight into big boxes and just move the boxes? The concept of shipping freight in large boxes had been around for decades. The British and French railways tried wooden containers to move ho

The British Transport Docks Board, the government’s oversight agency, turned to consultants McKinsey & Company for advice. McKinsey predicted that container shipping would quickly consolidate around a few companies using gigantic ships carrying standardized containers. Ports, it said, would need to be very large to gain economies of scale in tr

no more need to have them enforce our contracts.