Labor negotiations at US West Coast ports failed to reach an agreement! US port congestion will reach its peak in July!

It is learned that according to foreign media reports, since the International Warehouse and Longshoremen's Union (ILWU) and the U.S. West Coast port employer PMA (Pacific Maritime Association) have not yet reached an agreement, July this year will be the fourth busiest month in the history of U.S. ports and port congestion will continue.

The report said that this spring, due to the epidemic blockade, the cargo from Chinese factories at US ports slowed down, giving the ports time to clear the accumulated congestion. However, as the epidemic ended and factories resumed work, retailers shipped seasonal goods and other goods in advance to avoid a breakdown in labor negotiations with West Coast ports, resulting in a surge in cargo volume at US ports and congestion.

According to the latest monthly global port tracking report released by the National Retail Federation (NRF) and Hackett Associates, U.S. ports handled a total of 2.4 million TEUs (20-foot equivalent containers) in May, a 6% increase from April and 2.7% from the same period in 2021, setting a new record for the number of import containers in a single month since 2002.

Jonathan Gold, NRF's vice president for supply chain and customs policy, said that as we enter the peak shipping season, cargo volumes at U.S. ports are expected to remain high. At present, the most important thing is to maintain port operations and minimize disruptions. Because supply chain problems will continue in the second half of this year, more importantly, labor negotiations at West Coast ports have not yet been successful.

According to forecasts by NRF and Hackett Associates, in July, the number of U.S. retail import containers will reach 2.31 million TEUs, a 5.3% increase from last year, and port cargo volume will continue to remain high. In addition, compared with 2021, the number of U.S. retail import containers in 2022 will also see a significant increase.

Editor ✎ Nicole/

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