Locating short-term empty-container storage facilities to support port operations: A user optimal approach

This paper presents three strategic-level models for locating away-from-port storage yards for empty shipping containers. The main objective is to reduce the mileage involved in repositioning empty containers. The models presented attempt to capture the greedy behavior of individual trucking companies and provide for the first time a “user” optimal modeling approach for empty container management. An application to the port complexes of Los Angeles and Long Beach demonstrates that savings associated with storage yards could be easily overestimated when neglecting the perspective of the individual trucking companies. Strategies to encourage system optimal behavior are proposed.