WASHINGTON — The Shippers Coalition is calling on both the International Longshoremen’s Association (ILA) and the U.S. Maritime Alliance (USMX) to continue to negotiate and reach a fair agreement before the expiration of the current contract extension on January 15.
“Action must be taken immediately to prevent long-term consequences for U.S. retailers, consumers, and the economy at large,” says Alexis Oberg, deputy executive director of the Shippers Coalition. “If a fair negotiated agreement cannot be reached by January 15, we would urge both parties to extend the contract extension and continue to negotiate. Further, we urge both President Biden and President-elect Trump and their teams to intervene in the negotiations and use all tools in their toolbox to prevent a strike and to ease supply chain disruptions should a strike occur.”
According to a Shippers Coalition press release, as a potential strike looms at East and Gulf Coast ports, the Shippers Coalition is expressing serious concern over the devastating impact a strike would have on the supply chain and American consumers.
A recent report from the National Retail Federation (NRF) and Hackett Associates’ Global Port Tracker highlights that imports to major U.S. container ports are expected to surge through the spring of 2025 as retailers rush to bring in goods ahead of possible disruptions. This surge, while critical to preventing shortages, is putting additional pressure on an already strained supply chain. As the ongoing labor talks remain deadlocked, the risk of a strike grows, potentially disrupting trade and triggering higher costs for goods, according to the release.
Oberg noted that the Congress could provide additional tools to the President or the Department of Transportation to ease the flow of goods and mitigate the impact of a strike. These authorities include allowing a waiver for an increase of gross vehicle weight limits on the Federal Interstate System during a supply chain emergency, such as a port strike. Under the waiver, trucks could be filled to capacity and goods shipped across the country. These tools to mitigate the impact of a port strike or other emergencies would be available if the MOVE Act is passed by Congress and signed into law.
“Allowing states to waive Federal weight limits on the Interstate System during emergencies would help modernize our supply chain and keep the flow of goods moving when they are most needed,” the release said. “The Shippers’ Coalition is committed to working closely with stakeholders and policymakers to ensure that the nation’s ports remain open, efficient, and free from disruption in the coming weeks.”
Dana Guthrie is an award-winning journalist who has been featured in multiple newspapers, books and magazines across the globe. She is currently based in the Atlanta, Georgia, area.
