10:51am | A report released Wednesday shows regional trade is back on track.

International trade in Southern California “turned in surprising results in 2010 despite modest economic recovery in other industry sectors,” states the report by the Los Angeles County Economic Development Corp.

“International Trade Trends: The Southern California Region 2010 Review and 2011 Outlook” was prepared by the Kyser Center for Economic Research at the LAEDC.

The upswing in trade was so sudden, in fact, that many sectors of the industry weren’t prepared for it.

“Virtually everyone in the business was caught short — from steamship lines to railroads and truckers to manufacturers and distributors around the world,” the report states. “After spending much of 2009 worrying about sheer survival, concerns about the ability to provide adequate service rose to the forefront in 2010.”

Total container traffic through the ports of Los Angeles and Long Beach grew by 19.3 percent, and loaded import containers were up by 17.2 percent, while loaded export containers rose by 12.7 percent, the report shows. The value of two-way trade through the Los Angeles Customs District increased by 21.8 percent in 2010.

“The global economic recovery was a big factor in 2010’s positive surprise,” said Nancy Sidhu Ph.D, chief economist at the Kyser Center,  in a statement. “All of Los Angeles Customs District’s top five trading partners returned to growth mode, and the expanding economy will also act as a tailwind in 2011.”

The report also pointed to further growth in 2011 and 2012. While 2011 has seen “a mixed opening,” the global economic expansion continues, suggesting international trade flows will expand further. Global trade volumes are expected to grow by 6 percent to 9 percent in 2011, according to the report.

Findings of the report include:

  • The value of two-way trade values through the Los Angeles Customs District grew by 7.5 percent — from $346.9 billion in 2010 to $372.8 billion in 2011. The district also retained its ranking as the No. 1 international trade center in the United States.
  • The number of containers handled at the ports of Los Angeles and Long Beach will total 14.8 million TEUs, a 5.2 percent increase over 2010.
  • For the region international trade was responsible for 516,600 jobs thus far in 2011. That’s up 2 percent from 2010.
  • China’s rapid economic upswing was a key factor in the 2010 recovery and continued growth into 2011-2012.
  • The National Export Initiative offers potential for additional export growth out of the local ports.
  • The recent disasters in Japan have resulted in shortages of Japanese-made goods, while tourism has also declined, however recovery should lead to higher LACD exports later this year and in 2012.
  • High oil prices are a problem for international trade participants because they boost transportation costs.
  • Competitions from other ports present challenges to the Southern California ports. The Panama Canal expansion will open in 2014, and ports on the East and Gulf coasts are expanding in anticipation of higher volumes.