Updated: 04 Oct.

The Union who represent the dockworkers has agreed to suspend the strike action from Friday 04 Oct to 15 January after reaching a tentative agreement on wages, while negotiations continue regarding “all other outstanding issues”.

Though the ports will reopen, please be aware that there may still remain some disruption to shipments following the three-day strike.

Sources: BBC

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Updated: 03 Oct.

The pending strikes at Ports across the US East and Gulf Coasts have now gone ahead, with 45,000 dockworkers involved, causing wide spread disruption. Shipments from food to automotive have been blocked from Maine to Texas, which is being estimated to cost the US economy billions of dollars per day.*

President Biden’s administration has now put pressure on the Port Employers to secure a deal with the workers and end the strike action. At the moment, no talks have been scheduled and we are unsure how long the disruption will last.

Customers who are likely to be impacted by these strikes should get in contact with our team via Hayley Jackson, Ocean Freight Manager, 01473 550802 where we can advise on the most suitable next steps.

*Source: Reuters

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Updated:19th Sept.

US and Global supply chains are set to be seriously disrupted as the looming threat of a strike at US East and Gulf Coast ports on October 1st looks more likely. 

Why is there a potential strike at US East Coast and Gulf Coast Ports?

The potential strike action centres around a dispute on wage increases and port automation, with the International Longshoremen’s Association (ILA) strongly opposing further automation that might replace human workers. 

What ports are directly impacted by this potential industrial action?

The industrial action would primarily impact major U.S. East Coast and Gulf ports where ILA members are employed, including but not limited to New York/New Jersey, Norfolk, Philadelphia, Baltimore, Charleston, Savannah, Jacksonville, Miami/Port Everglades, Mobile, New Orleans and Houston.

The Biden administration has stated it will not intervene in the strike, heightening uncertainty.

Potential strike impact:

• Increased congestion at the ports – Resulting in cargo taking longer to be processed. This will create a knock on effect to on-carriage services and ultimately delayed delivery to end users.
• Increased freight costs – Shipping costs are expected to rise, combined with a higher risk of detention/demurrage/storage costs being incurred.
• Routing uncertainty – High levels of congestion could lead to carriers making changes to ports of call or omitting some ports altogether.

Hemisphere Freight will continue to monitor this evolving situation and update our clients accordingly. 

For further information, please contact Hayley Jackson, Ocean Freight Manager, 01473 550802