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10/9/2024
Major container ports will continue to have elevated levels of imports in October, despite the three-day strike that shut down port operations from Maine to Texas earlier this month, the National Retail Federation reported yesterday.
It will take the affected ports several weeks to recover from the backlog, but no holiday shopping season impacts are expected, said Jonathan Gold, NRF vice president for supply chain and customs policy. However, the strike did have an impact on the supply chain, he said.
“Retailers who brought in cargo early or shifted delivery to the West Coast face added warehousing and transportation costs, but the priority now is for both parties to negotiate in good faith and reach a long-term contract before the short-term extension ends in mid-January,” Gold said. “We don’t want to face a disruption like this all over again.”
The International Longshoremen’s Association went on strike Oct. 1 at the East and Gulf coast ports after their contract with the United States Maritime Alliance expired Sept. 30. A tentative agreement that will expire on Jan. 15, 2025, was reached to increase wages. Other details, such as the use of automation, still need to be hammered out.