Shipping companies and terminal operators have reached a tentative deal, according to supplychain247.com. The U.S. Labor secretary helped negotiate a deal.”Clearing out the crisis-level congestion and backlog at the ports” will now be a key focus.
How can these slowdowns and suspensions be limited in the future so that the global supply chain is not negatively impacted?
According to SupplyChain247.Com, “Shipping lines will partially shut down 29 West Coast ports for four of the next five days.” The loading and unloading of cargo freight will be temporarily suspended. Work will continue [at management’s discretion] in the terminal yards, rail hubs and terminal gates.
“Slowdowns at those harbors have rippled through the U.S. commercial supply chain for months, disrupting shipments of a wide range of goods affecting agriculture, manufacturing, transportation and retail.”
The article states that the mentioned ports are responsible for handling almost 50% of all United States trade and over 70 percent of Asian imports.
An extended shutdown of the ports could cost the U.S. economy $2 billion per day.
Will there be a resolution soon?
