Canadian Strikes Threaten…

“Strike” has been a common word amidst conversations in global logictics for quite some time now. The potential for LA port strikes arose in discussions on the heels of the COVID market recovery. It went over without major issue. But, there’s a new matter at hand and it has the potential to cause severe damage to the overall stability of import markets.

CANADA

Worker’s Unions in Canada are now the focus of attention. We are now past the second strike. The first began July 1st and lasted until July 13th. Many watching the situation unfold breathed a sigh of relief as the short resolution seemed to offer solace and support a quick return to service stability.

On July 14th, the British Columbia Maritime Employers Association (BCMEA) reached a tentative four-year agreement with the International Warehouse and Longshore Union (ILWU) Canada via mediation and the belief was we had moved past concerns of potential long-term strikes.

On July 18th, the ILWU rejected the proposed agreement and had issued a new strike notice for July 22nd.

By the following morning, more productive conversations had already transpired.

At this time, Canadian ports are operating. It is a knife’s edge and we could see additional stoppages if the parties cannot reach a final agreement, but all parties seem vested in continuing services in the interim. This boasts well for importers.

We will continue monitoring this situation and are assisting clients in routing cargo via more reliable ports of entry in the interim.

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