Port Strike And What To Expect

• Seafood: Perishable products like cod from Iceland or Canada and shrimp from Thailand and Ecuador don’t have many other transport options.
• Oil: Oil mainly enters the U.S. through the Gulf Coast.
• Electronics: Cellphones and computers, which now come from southeast Asian nations like Vietnam, Indonesia, and Thailand instead of China, are routed through East Coast ports.
• Cars and auto parts: European cars shipped via container and auto parts often pass through East Coast and Gulf Coast ports.
• Machinery parts: The East Coast ports surpass others in the U.S. in shipments of machinery, fabricated steel and precision instruments, according to S&P Global Market Intelligence.
• Alcohol: Wine, beer and spirits imported from Europe, South America or the Caribbean may take a hit.
• Bananas: About 75% of the nation’s bananas enter through East Coast and Gulf Coast ports, said Jason Miller, interim chair of Michigan State University’s department of supply chain management. Moreover, because the fruit is perishable, it’s not economical for them to be shipped on planes, Miller wrote in a LinkedIn post.
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• What products do I need to be worried about? If the strike drags on, you can expect some shortages on perishable items that the US imports.

UPDATE

Longshoremen End Port Strike After Reaching Potential Deal

(Worthy News) – Nearly 50,000 members of the International Longshoremen’s Association will return to work after the port workers’ union reached a tentative contract agreement with the United States Maritime Alliance.

“The International Longshoremen’s Association and the United States Maritime Alliance, Ltd. have reached a tentative agreement on wages and have agreed to extend the Master Contract until January 15, 2025 to return to the bargaining table to negotiate all other outstanding issues,” the two groups posted in a joint statement to Facebook. “Effective immediately, all current job actions will cease and all work covered by the Master Contract will resume.”

On picket lines since Tuesday, the strike against the East and Gulf Coast ports threatened to significantly disrupt supply chains, drive up consumer costs and lead to product shortages at grocery and other stores.

Negotiations had been underway since June. The disagreement was between the International Longshore Association and Warehouse Union, which represents dockworkers across the country, and the U.S. Maritime Alliance, which represents terminal operators and ocean carriers.

Wages of East and Gulf coast workers are a base wage of $39 an hour –approximately $76,000 annually – after six years, The Center Square previously reported. The union was asking for a 77% pay increase over six years. It also was asking for more restrictions and bans on the automation of cranes, gates, and container movements used to load or unload cargo.

Details of the tentative agreement were not released Thursday evening.