Transportation Roundup: Canadians strike, West Coast port sets record
More than 360 Canadian workers on the St. Lawrence Seaway began striking on Sunday for higher wages to keep up with rising living costs. The bi-national St. Lawrence Seaway is an important shipping corridor for several North American industries, including agriculture, energy, steel, construction and manufacturing. The seaway has 13 locks in Canada and two in the U.S.
Currently, there are no vessels waiting to leave the seaway system but more than 100 outside of the seaway will be impacted. Read the latest on the strike here.
On the opposite side of the U.S, holiday demand and the passage of the International Longshore and Warehouse Union contract led to the busiest September ever for the Port of Long Beach. The 829,429 twenty-foot equivalent units (TEU) moved in September is up nearly 12% year-over-year and passes the previous record from September 2020. The Port of Los Angeles is also showing a bit of recovery in recent months including a 5% year-over-year increase in September. Los Angeles and Long Beach ports are major gateways for agriculture products to Asian markets. Even in the midst of a large U.S. grain and oilseed harvest, freight rates are expected to be low with lower-than-normal export volumes expected. Read more here.
Hong Kong-based container line Bal Container Lines recently filed a complaint with the Federal Maritime Commission (FMC) regarding nearly $9 million in congestion surcharges from SSA Marine at the Port of Long Beach. Bal Container alleges they were never told the purpose or trigger of the surcharges, how to alleviate the fee or how the fee could alleviate congestion. SSA has 25 days to file a verified response with the FMC.
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