With East Coast and Gulf ports closed by the strike, West Coast ports are busier than usual
With East Coast and Gulf ports closed by the strike, West Coast ports are busier than usual
We’re on day three of the dockworkers strike. So far, no agreement between the International Longshoremen’s Association and the ports on wages or automation.
Dockworkers on the East and West Coasts are represented by two different unions. So while East Coast workers are walking the picket line, West Coast workers are handling diverted cargo so you can still get that vacuum cleaner you ordered online.
And it’s not like a switch flipped when the strike started.
“That increase has been coming at us for some time prior to the actual strike,” said Leal Sundet, the secretary treasurer of the International Longshore and Warehouse Union local representing workers in Portland. He says shipping companies had already been diverting cargo just in case of a strike. That started a couple months ago.
“They bring the cargo on the West Coast and then they rail it to the East Coast,” he said.
The increase since the strike hasn’t been that bad at the Port of Oakland either, says spokesperson Marilyn Sandifur. Because the demand spike isn’t much bigger than the normal holiday spike. So the port’s reaction to it is the same.
“When there’s more ships coming in, more cargo coming in, then they have to increase the number of dock workers that are handling that cargo,” she said. “It probably means more truckers coming in to pick up cargo, to drop off cargo. That’s basically how it works.”
Sandifur says the cargo increase started back in February this year, and strike concerns have likely been only part of the reason.
“What might be happening is retailers, you know, having experienced congestion during the pandemic, may have decided to just move their goods earlier this year, certainly through the Oakland seaport, we saw a big increase in imports,” Sandifur said.
But down the coast in the ports of L.A. and Long Beach, the cargo increase is more significant. It’s the largest port complex in the country. The Long Beach side handled 913,000 shipping containers last month, about 18% more than normal.
“That’s a record in our 113-year history,” said Mario Cordero, CEO of the Port of Long Beach. “And it tells me that there’s cargo coming from other gateways.”
There are a couple reasons why the strike-induced bump hasn’t overwhelmed these ports. One: the timing isn’t terrible.
“From July to September, essentially, we call that peak season,” Cordero said.
Meaning if the strike continues, diverted ships will continue to arrive right as the peak season is winding down. Even now, Cordero says Long Beach is operating at about 70% capacity.
The other reason: for years, the port has been preparing for a future with a bigger population and more consumption, when this record-breaking amount of cargo will just be normal.
“So that’s why we’ve invested considerable money in our infrastructure,” Cordero said.
Cordero also says he’s hopeful the eastern ports and workers will reach an agreement before consumers start seeing shortages or delays.
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