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Strike threat persists at US East Coast ports as January 15 contract deadline nears
Posted on January 9, 2025 |
The ILA and USMX will meet again on January 7 to finalize a contract before the January 15 deadline.
A strike involving 45,000 dockworkers could start if no agreement is reached by January 15.
While the ILA and USMX have agreed to a 62% wage increase, they remain divided on automation.
The USMX supports using automation to improve efficiency and create jobs, but the ILA opposes it, fearing job losses.
President-elect Donald Trump backs the ILA’s opposition to automation and might step in as a mediator if the strike coincides with his January 20 inauguration.
A strike could disrupt US ports, creating one of the biggest logistics challenges in recent years.
Shipping rates to the East Coast have increased as businesses prepare for possible delays and extra costs.
Maersk is advising customers to move containers and return empties at ports before January 15 to avoid disruptions.
Hapag-Lloyd plans to charge $850 per TEU and $1,700 per FEU from January 20, while CMA CGM will add a $1,500 surcharge starting January 15.
Yang Ming will impose a surcharge of $800 per TEU and $1,000 per FEU from January 15, while MSC and Zim will add extra fees and adjust operations to manage potential delays.