Strike at Ports of Long Beach and Los Angeles
The Office Clerks Union (OCU) began a strike at one terminal, which has expanded to most terminals. The ILWU has refused to cross the picket lines, effectively shutting down the ports.
Mondiale/Brennan’s contingency plan is to not adjust any routings this week, but rather wait to gauge whether or not this is going to be a long-term strike or something that will get resolved relatively quickly. If it becomes evident that the strike will be ongoing, beginning next week, we plan to divert as much cargo as possible from the Central, Eastern and Southern Regions of the country to sailings ex US East Coast.
The West Coast will send any southbound cargo that currently loads direct off the West Coast to Houston/Miami to catch a sailing. Any eastbound cargo will continue moving in the normal manner, and should not be affected by this strike. Cargo originating on the West Coast scheduled to go westbound will be held until a resolution has been made. Moving to the East Coast would result in a minimum two-week delay, at which time it is highly likely the situation will have already been resolved.
Please note that of this writing, New Zealand cargo is not largely affected as most of the vessels operate through Trapac Terminal which has not yet been picketed. We do understand however that things are working slower on this terminal. We will continue to monitor this situation over the weekend/early next week and will keep you advised.