Shipper's Shares Climb on U.S. Consumer Imports
By: Greg Levine | Features Editor
U.S. consumers are doing just fine, says Gerry Wang, chief executive of shipping firm Seaspan. The CEO joined "Squawk on the Street" to discuss the import/export space -- and how America's West Coast states can make it even stronger.
Seaspan, which operates container ships bearing such goods as consumer electronics and apparel, has seen its stock climb more than 45% over the past year. With a total contract value of $4.8 billion, $1 billion in liquidity, and deals to add 28 more ships to its current fleet of 27, the firm embodies a "very healthy situation in shipping," according to Wang.
He told CNBC's Erin Burnett that America's "consumer side" is strong, as his ships are "fully loaded" with goods from South Korea, China and Japan, bound for the U.S. Shipping orders are confirmed through September, he said.
A shipper is only as strong as its landfall connections -- and Wang praised the "tremendous efficiency" of the U.S.' Pacific ports and the "very hard work" of harbor stevedores.
However, he pointed out one area which can use improvement: "They need to spend some money on infrastructure," Wang advised. He said even greater efficiencies are possible, if West Coast states upgrade the railways and highways connecting port traffic to America's interior.
