LCL-oriented NVO says labor negotiations exacerbating existing causes of West Coast port congestion.
The neutral, non-vessel-operating common carrier and ocean freight consolidator CaroTrans said Thursday it is taking a number of steps to ready itself for congestion and potential further supply chain disruptions at U.S. West Coast ports.
“Congestion and current labor issues are impacting the flow of cargo at U.S. West Coast ports, and there is the likelihood of further instability,” CaroTrans said. “To address this infrastructure challenge, CaroTrans has developed alternative routing solutions to lessen the impact on supply chains and reduce variable transit costs such as detention and demurrage. Reducing unknown freight costs and working to ensure freight is delivered in a timely manner is critically important to a business’ bottom line.”
CaroTrans’ said its export routing alternatives for bypassing U.S. West Coast include:
- West Coast export freight to depart via Houston or U.S. East Coast ports.
- Pacific Northwest freight to depart New York.
- Chicago/Midwest cargo to depart from U.S. East Coast.
CaroTrans said that ongoing discussions between the International Longshore and Warehouse Union and Pacific Maritime Association are adding to congestion problems “caused by surges in cargo volumes from growing imports and bigger ships; shortages of chassis and rail cars; added ILWU equipment-safety checks; vessel bunching; the need for extended gate hours; low productivity; and insufficient numbers of truck drivers.”
It added, “Long term, CaroTrans will continue to address these congestion issues, which will not be resolved overnight.”
CaroTrans Chief Executive Officer Greg Howard said, “Current congestion at West Coast ports and labor upheaval is an added burden that is costly, reduces productivity and hinders success. Our infrastructure challenges require sustainable solutions that will support global competitiveness and improve productivity.”
