John S. James Co.’s Post

Potential Strike Spurs Surge in U.S. Container Imports 🚢 The threat of a strike by longshore workers at U.S. ports is driving a near-record surge in import container traffic, as retailers rush to bring holiday goods ashore. The latest Global Port Tracker report by the National Retail Federation and Hackett Associates shows container traffic approaching record monthly levels. Labor Negotiations in Limbo: With the contract between the International Longshoremen’s Association and the United States Maritime Alliance expiring on September 30, stalled negotiations and the threat of a walkout have prompted retailers to take precautions. Strategic Shifts: Many retailers are shipping goods earlier and redirecting cargo to West Coast ports to mitigate potential disruptions on the East and Gulf coasts. Supply Chain Challenges: Ongoing disruptions from attacks on vessels in the Red Sea, congestion at Asian ports, and higher shipping costs are contributing to the complexity of the current situation. As the deadline approaches, the trade group urges both sides to resume negotiations, highlighting the critical need for a resolution to avoid prolonged economic impacts. #supplychain #logistics #freight #containers #oceanfreight #ports #laborunions #negotiations #strike #eastcoast #gulfcoast #westcoast #shipping #transportation #warehousing #supplychainplanning #inventory #3pls

Potential Strike Spurs Surge in U.S. Container Imports 🚢 The threat of a strike by longshore workers at U.S. ports is driving a near-record surge in import container traffic, as retailers rush to bring holiday goods ashore. The latest Global Port Tracker report by the National Retail Federation and Hackett Associates shows container traffic approaching record monthly levels. Labor Negotiations in Limbo: With the contract between the International Longshoremen’s Association and the United States Maritime Alliance expiring on September 30, stalled negotiations and the threat of a walkout have prompted retailers to take precautions. Strategic Shifts: Many retailers are shipping goods earlier and redirecting cargo to West Coast ports to mitigate potential disruptions on the East and Gulf coasts. Supply Chain Challenges: Ongoing disruptions from attacks on vessels in the Red Sea, congestion at Asian ports, and higher shipping costs are contributing to the complexity of the current situation. As the deadline approaches, the trade group urges both sides to resume negotiations, highlighting the critical need for a resolution to avoid prolonged economic impacts. #supplychain #logistics #freight #containers #oceanfreight #ports #laborunions #negotiations #strike #eastcoast #gulfcoast #westcoast #shipping #transportation #warehousing #supplychainplanning #inventory #3pls

Container rates to both U.S. coasts have been dropping steadily for the past six weeks, signaling volatility in the market. Importers on the East Coast are anticipated to shift their focus to the West Coast, leading to an expected increase in rates there. #Shipping #Logistics #Importing

Over 50,000 members of the International Longshoremen’s Association (ILA) went on strike today against the East and Gulf Coast ports, choking off the flow of many of America’s imports and exports in what could become the country’s most disruptive work stoppage in decades. This strike threatens to disrupt operations at 36 ports from Maine to Texas which are vital to the US economy and accounts for over 40% of containerized imports. A wide gap remains between the union’s demands and the contract offered by the United States Maritime Alliance (USMX). The maritime alliance represents the major shipping lines, all of which are foreign-owned, as well as terminal operators and port authorities. The major disputes are centered around proposed wage increases by the union along with proposed automation in the ports. The strikes timing is particularly concerning given the global supply challenges with recent disruptions in the Red Sea and drought conditions affecting the Panama Canal which have already strained shipping routes and inflated freight rates. Rates from the Far East to the US East Coast have already surged by more than 300% this year. The good news is that traditional non-perishable holiday shipping goods might not be affected as much as you might fear. Typically, 70% of goods that retailers stock up for the holidays are already shipped through the ports by this time of year and can sit in warehouses or shipping containers for months at a time. President Biden has signaled that he has no intentions of using executive powers to keep the ports open under what is known as the Taft-Hartley Act, but rather relying on the strike to be resolved through fair negotiations and collective bargaining. Depending on the length of the strike, it could result in shortages of consumer and industrial goods, which could then lead to price hikes along with a setback to the economy. Please anticipate delays and cost increases including increased drayage cost, congestion, detention, and demurrage charges. The NNR team is monitoring the situation and will continue to offer our wide range of services to move your cargo as smoothly as possible. #nnrgloballogistics #usports #solutions #globalsupplychain

As the risk of industrial action at East & Gulf coast ports in the USA grows, carriers are starting to prepare for the ripple effect on the West coast by increasing shipping capacity. Some importers are already shifting supply chains as a precaution. https://lnkd.in/etVsGxAW #Imports #Exports #SeaFreight #Freight #Logistics #SupplyChain

𝗨𝗦 𝗜𝗺𝗽𝗼𝗿𝘁𝘀 𝗛𝗶𝗴𝗵 𝗔𝘀 𝗣𝗼𝘁𝗲𝗻𝘁𝗶𝗮𝗹 𝗣𝗼𝗿𝘁𝘀 𝗦𝘁𝗿𝗶𝗸𝗲 𝗟𝗼𝗼𝗺𝘀 12 September 2024 - Major United States container ports are expected to have another busy month in September ahead of a potential labour strike at the country’s East Coast and Gulf Coast ports. This is according to the National Retail Federation and Hackett Associates, LLC’ Global Port Tracker report released on Monday. “This is a critical time as retailers prepare for the all-important holiday season, and we need every port in the country working at full capacity,” said NRF Vice President for Supply Chain and Customs Policy, Jon Gold. “Many retailers have brought cargo in early and shifted to alternate ports as a precaution, but it is vital that labour and management at the East Coast and Gulf Coast ports actually sit down at the negotiating table and bargain in good faith for a new contract so we can avoid a disruption of any kind when their contract expires,” he said. https://lnkd.in/dHFx9Emj #internationaltrade #southafrica #southafricanbusiness #tradecreditinsurance #creditinsurance #receivablesmanagement #exportinsurance #importinsurance #tradeinsurance

https://lnkd.in/dMs--K3n It will likely take minimum three weeks to return to normal operations at US ports #logistics #operations #foreigntrade #import #export #shipments #ports #supplychain

With only days to go before the East and Gulf Coast labor contract expires, the industry is preparing for a coast-wide port strike effective October 1. Container ports are expected to cease operations late Monday, barring a last-minute agreement. We anticipate significant delays and congestion, even if the strike lasts only a few days. Terminals are preparing by offering extended gate hours to allow shippers to out-gate as much cargo as possible prior to the work stoppage. Ocean carriers have announced a variety of surcharges in anticipation of major congestion, with effective dates throughout October, ranging from $1000-3000 per container, applicable on import and export lanes via the impacted ports. Some carriers have stopped accepting new export bookings. The Federal Maritime Commission has issued guidance reminding carriers and marine terminal operators that the existing regulations on freight, surcharges, detention, and demurrage will be applicable in the event of a strike. For more details, check out Rachel Shames' article below.  #Shipping #InternationalTrade #MarketUpdate #Pricing #PortStrike #LaborContract

🚢 East Coast Port Strike Update from Richard Murray and Co. 🚢 As the East Coast port strike continues, shippers are racing to clear import containers amidst the disruptions. This situation is affecting supply chains, and we're actively monitoring developments to keep our clients informed. Check out this update on import containers: https://loom.ly/5xdIZOs We are navigating these challenges together and are here to keep your business running as smoothly as possible! #PortStrike #SupplyChain #RichardMurrayAndCo #LogisticsNews

With two weeks to go before the end of the current East and Gulf Coast labor contract and the start of the Golden Week holiday in China, many uncertainties remain. Labor is poised to begin a strike on October 1, and with no formal negotiations scheduled in the interim, a work stoppage seems likely. Whether the strike lasts for a few days or longer, congestion will cause delays for shippers across the country. Demand for freight into West Coast ports has increased ahead of the East and Gulf Coast contract deadline, though overall volume from Asia to the US has slowed from the peak in June/July. Rates to all US destinations are down considerably as well from their recent peak. China factories and offices will be closed for the first week of October, the Golden Week holiday, and ocean carriers have implemented significant blank sailings in response to the expected further slowdown. Carriers are hoping to stem the tide of rate reductions; they have attempted to maintain two short-term rate levels, a standard FAK level and a more aggressive spot level that applies by specific vessel.  For more details, check out Rachel Shames' article below. #Shipping #InternationalTrade #MarketUpdate #Pricing #Imports #Exports