Eric Hoplin, CEO of the National Wholesalers & Distributors Association, talks about the possibility of a port strike on Mornings with Maria.
A strike by some 45,000 union members is looming Dockworker Major flooding could begin next week on the East Coast and Gulf Coast, disrupting shipments of a variety of products as the presidential election approaches.
Half of all seaborne imports into the United States are transported through the 36 ports affected by the strike, which could begin on October 1. International Dockers Association (ILA)It has been the organization representing dockworkers since 1977.
The union and the United States Maritime Union (USMX), which represents port employers, are at an impasse over wages in the new contract. As of Sunday, talks between the ILA and USMX appeared to be at an impasse, with both sides issuing statements about the impasse.
The Port of Charleston is one of the five busiest ports in the negotiating group. (Photographer: Sam Wolf/Bloomberg via Getty Images/Getty Images)
A strike next week would disrupt billions of dollars' worth of imports, ranging from cars and auto parts to agricultural products and consumer goods. The possibility of a strike comes as the U.S. election season heats up and Americans begin planning their shopping for the upcoming holiday season.
US grocery stores could run out of popular fruit within weeks, as 45,000 dock workers threaten strike
Ports affected by the strike are handling $37.8 billion worth of auto imports in the 12 months to the end of June 2024, according to S&P Global Market Intelligence.
of Port of Baltimore They lead the U.S. in shipping automobiles, with auto parts also being major imports on the East Coast and Gulf of Mexico. These ports also lead the U.S. in shipping machinery, fabricated steel and precision equipment, according to data from S&P Global Market Intelligence.
Agricultural products are also important imports, with three-quarters of U.S. Banana imports Jason Miller, interim director of Michigan State University's supply chain department, told Reuters that many of the goods are imported from countries such as Guatemala and Ecuador.
Agricultural products are also important imports, with three-quarters of U.S. banana imports coming from countries such as Guatemala and Ecuador. (Fabian Sommer/Photo Alliance via Getty Images/Getty Images)
Biden won't block potential attacks on ports on the Eastern and Gulf Coasts
The Port of New Orleans is a major hub on the Gulf Coast. (Photographer: Luke Charette/Bloomberg via Getty Images/Getty Images)
The $18.5 billion U.S. economy will also be affected. Beef and pork export industry The export sector of chicken and eggs worth $5.8 billion transported in refrigerated containers.
Ranchers and farmers have begun culling cattle herds due to the region's drought and high costs, threatening to send prices for the nation's beef supply soaring. (Photo by Brandon Bell/Getty Images/Getty Images)
About 45% of U.S. waterborne pork exports and 30% of beef exports in the first seven months of this year were shipped through East Coast and Gulf Coast ports, according to Joe Schule, spokesman for the U.S. Meat Export Federation.
In the pharmaceutical industry, more than 91% of U.S. containerized imports and 69% of containerized exports Pharmaceuticals More than one-third of containers carrying life-saving medical supplies exported from the U.S. leave through the Port of Norfolk, Virginia, according to Everstream Analytics, while about 30% of containerized medical imports enter the U.S. through the Port of Charleston, South Carolina, the company noted.
Trade experts warn East Coast and Gulf port strikes could cost U.S. economy billions of dollars a day
The Port of Miami could also be affected by the ILA strike. (Photo: Joe Raedl/Getty Images/Getty Images)
The ports affected by the strike will import more than half of knitted and non-knitted goods. Imported Apparel Total exports to the U.S. were worth $32.8 billion, with furniture worth $23.4 billion, according to S&P Global Market Intelligence.
The White House previously President Biden While negotiations continue, the government will not invoke the Taft-Hartley Act, which would impose a cooling-off period during which workers can return to work for 80 days.
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“Since taking office, Biden-Harris Administration “The administration has developed a comprehensive, whole-of-government approach to monitor and mitigate potential supply chain impacts, from severe weather to disruptions to transportation service to the collapse of Baltimore's Key Bridge this spring,” White House press secretary Robin Paterson told Fox Business.
“As part of this effort, we are monitoring and evaluating potential ways to address, where appropriate, impacts to U.S. supply chains related to operations at U.S. ports. That said, we continue to encourage the parties to continue negotiating toward an agreement that benefits all parties and prevents any disruptions,” Patterson added.
FOX Business' Edward Lawrence and Reuters contributed to this report.
