US longshoremen are striking on Monday night following the expiration of their labor contracts. Work stoppages at Eastern and Gulf Coast facilities are expected to impact many consumer products. A summary of the items most likely to be affected is as follows:
Thank you for registering!
Access your favorite topics in a personalized feed on the go. Download the app
By clicking “Sign Up”, you agree to our Terms of Service and Privacy Policy. You can opt-out at any time by visiting our settings page or by clicking “unsubscribe” at the bottom of the email.
U.S. longshoremen affiliated with the International Longshoremen's Association are on strike Monday night following the expiration of their union's contract.
The latest development in the ongoing labor dispute is expected to impact many consumer products due to work stoppages at Eastern and Gulf Coast facilities.
Atlantic ports handle more than half of U.S. imports and have an estimated economic impact of $540 million per day, according to the Conference Board.
While some companies have been able to expedite shipments or route them to West Coast ports ahead of impending deadlines, others are in a tougher position.
A wide range of everyday items may be affected
Margaret Kidd, a program manager and associate professor of supply chain and logistics at the University of Houston, said fresh fruits and vegetables, especially those from Latin America, are expected to be most affected by the strike.
Top of the list: bananas and mangoes.
Brian Pacula, a supply chain partner at consulting firm West Monroe, told Business Insider that “supply chains like grocery stores don't have large inventories of bananas because they don't want them to expire.” spoke.
Tim Ryan, a Florida importer who supplies grocery stores such as Walmart, told The Wall Street Journal that he had to fly in asparagus from Peru, which would normally go through the Port of Miami.
Pacula said other food and beverages such as beer, wine and spirits could also be affected due to their perishable nature.
European manufacturers are expected to face greater disruption than brands shipping from Asia, Jefferies analysts said. This is bad news not only for toy makers like Playmobil and Lego, but also for Raffensberger puzzle solvers.
Related articles
Pacula said durable goods such as furniture and tires, which are not perishable and therefore less urgent to reroute, could also become stranded at ports. He pointed out that Continental Tire, Michelin and Goodyear are all top importers through the East and Gulf ports.
Two supply chain experts said that in addition to tires, shortages of other auto parts are likely to plague consumers in the coming days, especially those from Europe and those involved in secondary markets such as auto maintenance and manufacturing. He said there is.
When the Port of Baltimore was closed after the Dali destroyed the Francis Scott Key Bridge, the largest point of entry for imported cars into the United States was closed. Baltimore is also an important importer of sugar and gypsum, which are commonly used in construction and agriculture.
Meanwhile, parts of the East Coast continue to be affected by Hurricane Helen, and goods shipments across the United States are expected to be further delayed.
Michael Yamartino, CEO of post-purchasing firm Root, said small businesses with large inventories and the inability to plan ahead could be hardest hit, as well as businesses with complex products. Said it was expensive.
With less than two months until Black Friday, three experts said the strike is likely to affect holiday shopping and shipping.
Chris Butler, CEO of the National Tree Company, a leading online seller of Christmas decorations, said that even with precautions in place, an estimated 15% of the company's products would be stranded due to the strike. Ta.
