TR NEWS 246 SEPTEMBER–OCTOBER 2006 5

PHOTO: LINE, LTD. The 1 was loaded there in November 1937 was loaded there Just about everything else—from boxes of crayons Just about everythingelse—from In those days, a cargo ship typically would spend ship typically would In those days, a cargo understand how and why the modern container- McLean often identified the site as Hoboken, New Jersey, but freight bound for Istanbul was more likely to leave bound for Istanbul was more but freight American the foot of Exchange Place in Jersey City. from Line’sExport Examelia for a transatlantic voyage to Istanbul and other Mediterranean ports. 1 A Vision Takes Shape A Vision Takes To ship evolved, turn back the calendar to Thanksgiving year of 1937. The owner of a week in the prewar ventured had Carolina small trucking firm in North cotton harbor with bales of export to New York north a ship bound for Istanbul. to be loaded aboard to crates of cereal, television sets to garden tools, television sets to garden to crates of cereal, trains to baseball gloves, men’smodel railroad shirts to women’s factory the sea from shoes—travels across These fleets of huge containerships. to market aboard the in allowing vessels have played a critical role world’s economy to assume global dimensions. man grew irritated when he had to wait for days while man grew the vessel. aboard slowly loaded cargo longshoremen being loaded and unloaded as as much time in port a bewil- included it did sailing the seven seas. Cargo BRIAN J. CUDAHY owsing through a general-purpose book- owsing through shop section on “Transport by Sea” would shop section on “Transport lead to titles on the stately passenger liners old-fashioned paddle-wheel of yesteryear, r Many commodities are transported in bulk, and in bulk, transported Many commodities are Overseas trade has assumed unimaginable pro- oll on–roll off vessels. off oll on–roll Malcom 1956 Innovation McLean’s Goes Global THE CONTAINERSHIP THE REVOLUTION specialized vessels have been developed to accom- modate this trade. Fleets of giant tankers move to consumers, producers from products petroleum as and similar vessels carry such diverse cargo cement, coal, and grain. The automobile industry a unique vessel that has developed the car carrier, the ship, and allows vehicles to be driven on and off and high-value commodities other kinds of large similar typically travel on flatbed trailers aboard r portions in the past half century. Although some in the past half century. portions and by air, most readily transported commodities are can travel such as software some high-value cargo the great continent to continent electronically, from the seven seas bulk of world trade is carried across ships. by cargo steamboats, luxury ships, and warships of every cruise would cover the volumes if any, shape and size. Few, enormous vessels that exercise seagoing merchant ships. influence on the national economy—cargo B Box A and Copyright, Transportation Research Board of the National Academies, Washington, D.C. Reprinted with permission of TRB. Copyright, Transportation Research Board of the National Academies, Washington, D.C. CONTAINER ERA CONTAINER INTERMODAL Photo above: Originator, and leader of pioneer, the multimodal container revolution Malcom McLean surveys containers on a containership pier. The author is a transpor- tation and maritime historian whose books include the recent Boats, as well as Around Island: And of Other Maritime Tales New York Century of Subways: Celebrating 100 Years of New York’s Railways. Underground of the He is a director Steamship Historical Society of America and South lives in Bluffton, Carolina. THE 6 TR NEWS 246 SEPTEMBER–OCTOBER 2006 Copyright, Transportation ResearchBoardofthe National Academies,Washington, D.C.Reprintedwithpermission ofTRB. about it. rainy AprilThursdayin1956,hedidsomething ent limitationsofloadingcargo aboard ship.Ona thinking abouthisexperiencein1937andtheinher- ations, McLeanTrucking. McLean,however, kept premier over-the-roadone ofthenation’s cargo oper- Carolina–based truckingcompanywouldgrow into from beingcoined. modalism, aword thatin1937wasdecadesaway begun tothinkabouttheimplicationsofinter- other endoftheline?”Thefrustratedtruckerhad purposesatthe instance, andthenusedfordelivery couldn’t anentire truckbehoistedaboard ship,for than loadingcargo aboard shippiecebypiece.Why one whowouldlisten,“There hastobeabetterway cargo thousandsofmilesacross ahostileocean. the holdofamoored shipthanitdidtotransport the cargo 1,000feetfrom thestreet infront ofapierinto suggested thatitcosthiscompanymore tomove age, loss,andpilferage.Onesteamshipexecutive presumed sailingdate,increasing thechanceofdam- delivered toapierdaysandevenweeksaheadofthe steamship schedules,outboundcargo oftenwas time-consuming andlabor-intensive. damage duringtheoceanjourney. Theoperationwas stowed intheholdamannerthatwouldforestall aboard shipinsmalllotsandthenpainstakingly dering varietyofmerchandise thathadtobehoisted McLean hadorchestrated apioneeringvoyage. with nointermediatehandling bylongshoremen. gear, anddelivered totheirintended destinations were hoistedoff containers. from theirrunninggearonthepierandhadbecome ventional sense—the58unitshadbeendetached of 58trailertrucks.Thesewere nottrucksinanycon- longitudinal slotstowhichwere attachedthebodies cial spardeck—araisedplatformorporch—with additional product. another tankerheadingsouthinballasttopickup course forHouston,Texas, itwasmore than Newark, NewJersey, onApril26,1956,andseta Streetfrom inPort Berth 24atthefootofMarsh to northern refineries. ButwhenIdealX ers thatmovedpetroleum from theTexas oilfields run-of-the-mill T-2 tanker, similartocountlessoth- A vesselbearingtheunusualnameIdealX The FirstContainerships That manwasMalcomMcLean,andhisNorth The North Carolina truckdriveroftensaidtoany- Furthermore, becauseoftheuncertainties of In preparation, he hadacquired asmallsteamship Arriving inHoustonsixdayslater, the58trailers maindeckwasaspe- Installed abovethevessel’s Ideal X,attachedtofresh running cast off was a another inbelow-deckracksandtohauladditional thoroughly rebuilt tostackcontainersoneatop cargo shipidentifiedasaC-2Classvessel,hadbeen a flatspardeck,butGatewayCity,World War II ported containersthatwere individuallyattachedto trans- to Miami,thenonHouston.IdealXhad steamed awayfrom Port Newarkandheadedsouth that sameday, thePanAtlanticship firstearth-orbiting satellite.On Sputnik I,theworld’s Soviet Unionlaunched On October4,1957,the Design Innovations were notintroduced until1957. tures thatcharacterizethemoderncontainership first successfulcontainerships,thebasicdesignfea- in1956areAtlantic service oftencalledtheworld’s three otherconverted T-2 tankersthatentered Pan venture Sea-LandService. Although Pan Atlantichouseflagandrenamed hismaritime In 1960,McLeanhauleddowntheblue-and-white Sea-Land Service deckhouse. additional containerstobestacked aftofthe between thedeckhouseandbow, andspacefor T as part oftheU.S.Merchant Marine. successful deepwatersteamshipcompanytooperate wouldcallthemostimportantobservers andmost evolve intowhatmanyknowledgeablemaritime independent identity. PanAtlantic,however, would control andresume an would moveoutofMcLean’s ent companyalso,althoughWaterman eventually Steamship Company. McLeansoonacquired thepar- oftheWatermanin 1933andwasasubsidiary Steamship Companywasfounded the PanAtlantic his truckingenterprise.BasedinMobile,Alabama, company inearly1955toconvert intoanadjunctof ypical containershipwithcontainer-carrying holds Gateway City Ideal X

and

. L , L M : P TD INE AERSK HOTO TR NEWS 246 SEPTEMBER–OCTOBER 2006 7

Supplying the U.S. military forces in Viet Nam demonstrated not only the versatility and but also the efficiency security of containerized cargo. Gantry cranes have made Gantry cranes and the loading of unloading cargo containerized speedy and efficient.

D D U.S. : P EFENSE OF EPARTMENT HOTO

PHOTO: MAERSK LINE, LTD. transatlantic voyage of 1966, McLean convinced the military that container- Many critical challenges arose along the way. along the Many critical challenges arose of the containership saga is the Another part placing conventional cargo ships with new con- placing conventional cargo educe dockside pilferage in U.S. ports, so too it educe dockside pilferage in U.S. ports, econfiguring of port facilities around the world to facilities around econfiguring of port Reaching Southeast Asia McLean’s Sea-Land the pacesetter Service remained and the company con- of the containership industry, tinued to expand its fleet of U.S.-flag vessels and to open up new services. was In the late 1960s McLean market—moving supplies able to tap an interesting Nam for the U.S. military. to and from South Viet problems ization could solve many troublesome chain of associated with maintaining an effective made the McLean and his representatives supply. conventional cargo theft from case that waterfront Nam was so serious that a hefty per- ships in Viet centage of inbound material was winding up in enemy hands. Just as was able to r sympathizers to Cong by Viet efforts could thwart steal war material intended for U.S. soldiers. sured in days and weeks were reduced to hours. The reduced were in days and weeks sured in pilferage and decreases shipper benefited from and efficient damage, and the operator gained more use of ships and maritime personnel. effective devel- How the trucking and maritime industries containers for the design of oped a set of standards such as gantry cranes is a and associated hardware labor had to be convinced story in itself. Organized workers would face a better and that waterfront to take by thinning the ranks future secure more of containerization. advantage of the efficiencies r effi- handle inbound and outbound containers piers and storage sheds that The covered ciently. hoisting the weather before from cargo protected open tracts of by large replaced ship were aboard trailers to teamsters could position land, where the ship via huge gantry cranes. In move on and off the wake of Fairland’s re tainer-carrying tonnage became the goal. tainer-carrying sig- North ’s Fairland’s Gateway City could accommodate 226. could accommodate could handle 58 trailers, but the 58 trailers, but could handle Ideal X Copyright, Transportation Research Board of the National Academies, Washington, D.C. Reprinted with permission of TRB. Copyright, Transportation Research Board of the National Academies, Washington, D.C. Nevertheless, many of the more traditional ocean- many of the more Nevertheless, the companies held After April 1966, however, In many respects, the voyage of In many respects, converted ships were cargo All manner of older emained secure while awaiting the ship that would emained secure units stacked atop each other as deck cargo. The as deck cargo. atop each other units stacked 524-foot Expansion and Competition to McLean expanded his waterborne operations Coast via Rico in 1958, to the West Puerto the to that Panama Canal in 1962, and north U.S.-flag In the meantime, other same year. opportu- the steamship companies began to explore Com- nities of containerization. Matson Navigation pany inaugurated container service between 1958, and California and the Hawaiian Islands in serviceGrace Line put its first containerships into in 1960. Venezuela and between New York important going steamship operators—in particular, and companies such as Holland America European containerization as appropriate Cunard—regarded them, the only for select domestic niche markets. To interna- innovation had no place along such classic Atlantic. as the North tional trade routes that view at their own corporate peril. Sea-Land’s vessel and a sister C-2 cargo Fairland, a converted Newark for the Chan- ship of Gateway City, left Port than the pioneering con- More of Europe. nel ports tainer voyages of 1956 and 1957, Advantages and Adaptations advantages to important The containership offered was Freight both shipper and steamship operator. a trailer at the shipper’s loaded aboard securely fac- its doors sealed, and the consignment dis- tory, the cargo There city. patched to a nearby port r because the sea. Furthermore, it across transport by swift ship hoisted on and off the containers were mea- that once were gantry cranes, stays in port 450-foot Gateway City contemporarynaled the onset of the containership soon joined the 1957 pioneer in era. Five sister ships McLean’sthe spar deck tankers of 1956 fleet, and retired. were carriers, and into exclusive container Sea-Land of contem- basic design feature quickly developed a porary well containerships—a deck house located with con- open area a large to the stern of the ship, house and holds between the deck tainer-carrying additional containers aft of the for and room bow, deck house. signaled the demise of the conven- Atlantic crossing to in port ship and of the lengthy stays tional cargo load and unload cargo. 8 TR NEWS 246 SEPTEMBER–OCTOBER 2006 stack freightcar. to developthedouble- Southern PacificRailroad McLean workedwith Copyright, Transportation ResearchBoardofthe National Academies,Washington, D.C.Reprintedwithpermission ofTRB. able to carry moreable tocarry than1,000containers. SL-7 was could accommodate226trailerseach.Each City largest containershipsatthetime.Gateway world’s pion inthetranspacificmerchant trade. 7, SL- 0.97 knotsslowerthantheUnitedStates.Another North AtlanticinAugust1973at34.92knots,only SL-7s, crossed the Sea-Land Exchange,oneofthe speed record from the example oftheefficiencies ofcontainerships. in support ofthewarprovided anotherdramatic transpacific logisticalsupplylinethatwasestablished W containers inlandfrom West Coastports. develop thefirstdouble-stackfreight carforcarrying Southern PacificRailroad to McLean teamedupwith Sea-Land operations, assumed animportant role in Asia toNorth America.Whentranspacifictrade back across thePacificwithcommercial cargo from V the West CoasttoViet Namwithwarsupplies,from empty, McLeanestablishedatriangulartradefrom V North AmericatoAsia.Becausevesselsboundfor tion oftraditionalmanufacturingwasshiftingfrom SS any othercargo Thesuperliner shiptheninservice. could maintain33knots—10to15knotsfasterthan 2 differentSL-7 Class. European yards turnedoutthe transatlantic andtranspacificcrossing times.Two that wouldbefastenoughtocutfulldaysfrom the tainerships withextraordinary specifications—ships ofeightnewcon- Sea-Land tookdelivery In 1972, The MagnificentSL-7s trade betweenU.S.ports. are prohibited bythe1920JonesActfrom engagingin Foreign-built cargo shipsmaysailundertheU.S.flagbut iet NamtoJapanandHongKongempty, andthen iet Namwere returning toNorth Americalargely ar continuetobedebated.Nevertheless, the Sea-Land Commerce United States In addition to being fast, the SL-7s alsowere the In additiontobeingfast,the The implicationsandimpactsoftheViet Nam McLean alsowasaware thataconsiderablepor- The eight SL-7s that joined the Sea-Land fleet SL-7s thatjoinedthe The eight and theotherconverted C-2cargo shipsof1957 may havewrested thetransatlantic , istheall-timespeedcham- Queen Mary in 1952,butthe 2 of DefenseasT-AKR Classfastsupplyships. 1982, andtheyremain fortheDepartment inservice sold off itsprizevesselstotheU.S.Navyin1981and commercial operatorcouldnotafford. Thecompany thata fuel, andtheeightvesselsbecamealuxury to increase atanunprecedented rate. petroleum crisesthatcausedthepriceofpetroleum lem, but1973brought thefirstofseveralworldwide 1972 pricelevels,thiswouldnothavebeenaprob- burned anextraordinary quantityoffuel.Atpre- generated steamtodrivethedualturbineengines tain thedesignspeedof33knots,boilersthat containers plusanadditional400TEUs. SL-7 couldaccommodate89635-foot As built,an company soonshiftedtomore conventionaltrailers. made precise comparisonsdifficult, althoughthe gade, employingalarge fleetof35-footunits,which Sea-Land wassomethingofarene- foot containers. accommodate 1,00020-footcontainersor50040- units. A1,000-TEUcontainershiptherefore can TEUs, trailer-equivalent unitsor20-foot-equivalent smallest incommonuse,vesselsare measured in capacity.carrying Becausea20-footcontaineristhe different currents were affecting themaritime indus- r he severed histieswiththecompany. Several yearslater SL-7 intoproduction. to movethe R.J. Reynoldsin1969togainthe investmentcapital McLean hadsoldcontrolling interest inthelineto begananinterestingService corporateevolution. Sea-Land SL-7 in1972, Following theadventof Parting Company Ship, USNSAntares,forcarryingvehicles. the U.S.Navyin1981andconvertedtoaFastSealift fastest cargoshipseverbuilt,itwaspurchasedby construction inaWest Germanshipyard.Oneofthe SL-7 ClasscontainershipSea-LandGalloway eturned tothecontainershipindustry. Butnewand The companythrottled backitsfleettoconserve The newfleetproved tohavealiability. To main- Containerships typicallyare compared intermsof McLean later acquired United States Linesand McLean lateracquired United

under

. F L M : P OUNDATION EAN C HOTO TR NEWS 246 SEPTEMBER–OCTOBER 2006 9

PHOTO: MCLEAN FOUNDATION . Perga- National McLean at a West German shipyard McLean at a West in 1972 for the launching of the SL-7 containership Sea-Land McLean—temporarily identified by nickname for his grandchildren’s him, “Pop-Pop.” . Sea Change in Liner Shipping: Regulation and McLean Container Center Established Center Established Container McLean Fordham University Press, Bronx, New York, 2006. New York, Bronx, University Press, Fordham group of shipping industry lead- group of shipping intermodal ers associated with The center also is intended to serve innovator of the 20th cen- “Malcom McLean was a leading transportation orld. ork, will house and maintain the Museum of American History, Washington, D.C. [Written Washington, Museum of American History, Donovan transcripts of conversations conducted by Arthur individuals in the industry.] with important W types freighter [A concise history of world shipping—from of global trade to steamship lines—focusing on the growth carried by box boats.] 2004. [First-person account of a trip between a contemporary containership.] aboard and New York Managerial Decision-Making in a Global Industry 2000. [Discussion of the economics of Oxford, mon Press, in the mar- the unusual cooperative activities that prevail itime sector.] One can only wonder how things might have One can only wonder how things might container pioneer Malcom McLean container pioneer of con- and the early development established the tainerization have Center to collect McLean Container photographs, and preserve records, the and other items documenting The history of containerization. Museum and American Maritime U.S. Merchant Bland Library at the Kings Point, New Marine Academy, Y collection, which will be available to historians, researchers, students, and the public. as a resource and catalyst for the advancement of containerization Richardson, notes Paul F. technology, who chairs the board of directors. had the honor of knowing him,” Richard- and all of our board members tury, complete and accurate a historical son adds. “It is important to compile as possible. The U.S. as effects account of containerization and its far-reaching is the ideal location for the center.” Merchant Marine Academy at Kings Point A Cudahy, Brian J. Box Boats: How Container Ships Changed the Cudahy, New York, Simon & Schuster, Colombo Bay. Pollak, Richard. Additional Resources Mary R Brooks, Collection: 1999–2000. Containerization Oral History turned out if longshoremen in Jersey City had man- in Jersey City turned out if longshoremen greater aged to unload a truckload of cotton with 1937 and dispatch during Thanksgiving week of with nary a Carolina sent a trucker home to North frustration.

PHOTO: BRIAN CUDAHY Ideal to vessels with Essen Express Gateway City Copyright, Transportation Research Board of the National Academies, Washington, D.C. Reprinted with permission of TRB. Copyright, Transportation Research Board of the National Academies, Washington, D.C. the Pan Atlantic Steamship Company, was sold the Pan Atlantic Company, Steamship The first 50 years of the containership era can be The first 50 years of the containership era from Port Newark with a capacity load of 56 trail- Port from The Hapag-Lloyd containership bringing a load of containers into Savannah Harbor, Georgia. The economies of scale that motivated The economies of scale Sea-Land and containerships continue McLean to build ever-larger April 26, On industry. in the now-global to prevail of 2006, the 50th anniversary of the departure Extraordinary Evolution Extraordinary ers, containerships in service under operators such as Hapag-Lloyd and the Mediterranean Shipping Company had passed 9,000 TEUs, with 10,000-TEU to follow. vessels certain prisms. Naval architects different viewed through on the extra- seamen may concentrate and merchant containership design that has evolution of ordinary tanker Ideal X T-2 the converted from progressed ship and the C-2 cargo X try, and much of the U.S. Merchant Marine faced the Marine faced much of the U.S. Merchant and try, and shifting to offshore of outsourcing same kind in many other com- prevalent that were operations period of own- a short sectors. In 1999, after mercial ership by the CSX Corporation, Sea-Land Service, nee Moeller Group, the A.P. to a Danish conglomerate, and the world’s containership operation was pioneer contain- Line, the largest absorbed into the Maersk ership fleet in the world. capacities approaching 10,000 TEUs. capacities approaching Shippers may marvel at the wonders of “just in time” chains of to market international delivery that bring products plan- Transportation efficiency. with extraordinary develop exasperated as they seek to ners may grow highways, seamless links between seaports, more wonder how may officials and railways, and port harbors for to adapt their they will find the resources and polit- containerships. Economists the ever-larger and assess ical scientists may continue to measure the implications of a global economy in which the clothes and backpacks worn by youngsters heading in manufactured to school in Middle America were the across factories in the Far East and transported containerships that fly flags of many Pacific aboard that of the United countries, but rarely States.