Dive Brief:
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The Pacific Maritime Association, which represents shippers, has ordered another partial shutdown of 29 ports on the West Coast, starting Thursday.
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The shutdown is the second in two weeks and will last four days of the upcoming long weekend so shippers can avoid weekend and holiday pay rates. Some yard, gate, and rail operations will continue.
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The extended shutdown will have even more severe consequences to the economy and retailers, observers say.
Dive Insight:
Unions are quick to point out that it’s the shippers closing down the ports, while shippers say that work has slowed to the point of “severely diminished productivity.” The upcoming President’s Day holiday means workers would be paid premium rates, and shippers are having none of that.
These 29 ports handle almost half the sea trade in the country, and more than 70% of Asian imports, putting severe kinks in retailers’ supply chains. Looks like things are going to get worse before they get better.