American Chemistry Council’s Post

Critical Disruption: The Canadian Rail Lockout’s Ripple Effect on U.S. Trade The Canadian rail lockout, as reported by Lori Ann LaRocco on CNBC, is more than just a logistical hiccup—it’s a major disruption with far-reaching implications for U.S. trade. With over 9,000 rail workers locked out by CN Railway and Canadian Pacific Kansas City, billions of dollars worth of U.S.-bound trade is stranded, during one of the busiest shipping seasons of the year. This event underscores a key vulnerability in supply chains in North America: the heavy reliance on Canadian railways for the transportation of essential goods like fertilizer, grain, automotive parts, and consumer products. As 20% of U.S. trade enters through Canadian ports, the halt in rail operations is creating significant bottlenecks, pushing companies to scramble for alternative transport solutions, which are often costlier and less efficient. The economic impact of this lockout will intensify each day it remains unresolved, potentially leading to long-term consequences for both U.S. and Canadian industries. It’s a stark reminder of the critical importance of resilient and diversified logistics strategies in today’s interconnected global economy. As we watch this situation develop, businesses must reassess their supply chain risk management strategies to mitigate similar disruptions in the future, which have the potential to be even more significant. The longer this lockout continues, the greater the threat to the flow of goods across North America. For those interested in the full details, I highly recommend reading the original article, link is below. #SupplyChainResilience #Logistics #TradeDisruption #RailTransport #NorthAmericanTrade #canadarailstrike https://lnkd.in/dimN-CCy

Freight volume continues to decline in Red Sea A new report by the Institute for the World Economy has shown that over 80 percent fewer containers are passing through the sea route and the Suez Canal than would normally be expected.

Are you prepared? Is your supply chain contingency plan ready to be tested? The potential rail shutdown in Canada could impact a wide range of commodities, including: Energy Products: Crude oil, refined petroleum, and natural gas liquids. Agricultural Products: Grain, fertilizers, and other foodstuffs. Automotive: Parts and finished vehicles. Chemicals: Industrial chemicals, including those used in manufacturing and agriculture. Manufactured Goods: Lumber, metals, and machinery. These disruptions could ripple across North America, affecting industries dependent on these commodities.

Freight volume continues to decline in Red Sea A new report by the Institute for the World Economy has shown that over 80 percent fewer containers are passing through the sea route and the Suez Canal than would normally be expected.

Freight volume continues to decline in Red Sea A new report by the Institute for the World Economy has shown that over 80 percent fewer containers are passing through the sea route and the Suez Canal than would normally be expected.

Trouble in the Red Sea: Recent attacks send shockwaves across global shipping routes, affecting Canadian trade. 🚢 Tap to explore.⤵ #redsea #canadanews #newsupdates #canadiantrades #urbananews #newsupdate #people #canada #Media #Research #Info #Breakingnews #Update #information #Industry #Dailynews #Press #Newsletter #Advertisement #Instanews #CanadianInsights #canadiancovers

October Global Shipping Conditions Update Keeping our trade partners informed is crucial, so here’s a brief overview of the latest global shipping conditions from the The British Association of Removers (BAR) as of 1st October 2024: North America: - Port Strikes: USA Longshoremen strike has begun, causing delays and disruption. - Work Disruption Surcharge: Upwards of USD 1,000 per TEU now applies to freight costs. - Capacity Issues: Overbooked Trans-Atlantic trade, leading to increased rates and delays. Eastbound Trades (Asia, Oceania, Middle East): - Longer Transit Times: Cape of Good Hope diversion continues; transit delays are now the norm. - Middle East Delays: Severe backlog due to omitted ports and full services. Southbound Trades (Africa) & Latin America: - Service Reliability: No major changes, but expect longer clearance times and potential storage charges. Recent Developments: - Container Quality Decline: Increased rejections are causing delays. - Shipping Restrictions: ONE LINE will not ship personal effects for Russian passport holders. - Lithium-Ion Batteries: Strict regulations apply; misdeclaration could lead to heavy fines. Recommendations: - Plan moves well in advance due to extended booking times and possible delays. - Avoid shipping lithium-ion batteries to prevent penalties. For full details, check out the complete update here: https://lnkd.in/esXptkS6 Got questions? We're here to help! #InternationalShipping #GlobalLogistics #MovingIndustry

In this week’s Freight Market Update: Mexico surpasses Canada & China as largest U.S. trading partner in 2023, Panama Canal water level projections threaten transits, & shippers ask the Federal Maritime Commission to address Red Sea crisis. 💡We publish a weekly news roundup covering the state of the supply chain. Find it here: https://bit.ly/49AY5Jv #supplychain #radiantdelivers #freightmarketupdate

The ongoing crisis in the Red Sea is pushing more volumes into West Coast ports. This could have an impact on US domestic transportation in the 2nd half of 2024 as seasonal volumes pick up and capacity continues to exit the market. #redsea #imports #trucking #transportation

The maritime shipping industry is facing significant challenges, leading to increased ocean freight costs and disruptions in global supply chains. Key factors contributing to this situation include: 1. The Gaza-Israel conflict closing off the Red Sea and Suez Canal route 2. Strategic pricing measures by major shipping companies 3. Growing disparity between European and US shipping rates 4. Port congestion at major US hubs 5. Recent US policy decisions affecting tariffs and anti-dumping fines These issues are causing extended lead times, higher costs, and forcing businesses to adapt their supply chain strategies. Experts predict that ocean freight costs will continue to rise in the coming months before stabilizing at higher levels for the foreseeable future. Read the full article to learn how to navigate the current environment and mitigate risks. https://lnkd.in/e8CwRm4w #Veteran1 #OceanFreight #Carriers #Transportation #Logistics #News #MarketInsights