While the current contract between the between the International Longshore and Warehouse Union (ILWU) and Pacific Maritime Association (PMA) has officially expired there is, (at least as of this writing), no labor stoppage or any noticeable signs of a slowdown at any U.S. West Coast port.
However, out of an abundance of caution, many companies are considering booking their Asia cargo on alternative routes through U.S. Gulf and East Coast ports. This decision would ensure that these companies products will still be delivered to their final U.S. destination, just in case there is a strike or a labor slowdown does occur in the coming days. According to industry experts there is plenty of space available, but of course this decision comes with added cost and each business needs to make their own business decision as to whether this makes sense or not.
As always, we will continue to monitor this situation on a daily basis and report any updates as they become available. Contact us for any questions or concerns.
Information gathered from the OEC Group.
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