If you thought the Biden-Harris administration was criminally inept at handling the crisis at the southern border, wait until you see how badly they’re going to mess up the supply chain. It’s not being talked about a lot, but there is a port strike looming that’s going to upend the supply chain and send prices soaring. We’ll likely be seeing the kinds of shortages and bare grocery shelves that we saw back in the days of the pandemic.
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Next Tuesday, it is expected that members of the International Longshoremen’s Association (ILA) will walk off the job at 36 port locations along the East and Gulf coasts, forcing shippers to divert to the West Coast. Those diversions would add significantly to the costs involved in getting food and other consumables delivered across the country.
The pending strike could result in shortages of consumer and industrial goods, meaning prices will skyrocket and cripple an already dismal economy. It’s being reported that this could also halt the delivery of “parts needed by US factories could disrupt those plants’ operations and even lead to temporary layoffs.”
If this strike goes forward, American families are going to be hit hard. Again.
Here’s an overview of goods that might be hard to find as of next week:
Port Wilmington, in Delaware, describes itself as the the nation’s leading banana port, bringing in a large share of America’s favorite fruit. According to the American Farm Bureau, 1.2 million metric tons of bananas come in through the ports that could go on strike next week, representing over a fifth of the nation’s bananas.
Nearly 90% of imported cherries, 82% of hot peppers and 80% of imported chocolate all come through containers offloaded at those ports, according to the Farm Bureau. It said the situation is just as significant for beverages, with 80% of imported beer, wine, whiskey and scotch and 60% of rum arriving at East and Gulf coast ports. Spirits are the top import at the Port of New York and New Jersey, according to the authority that runs it.
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A beer shortage is not going to go over well with sports fans across the country.
Republicans have for weeks been calling on the Biden administration to take action to avert a strike, but it’s been crickets so far from the White House. Rep. Nicole Malliotakis (R-NY) appeared on Fox Business earlier Friday to lament the lack of action being taken by Joe Biden and Kamala Harris, telling host Maria Bartiromo that the impact of the strike “will be devastating.” Malliotakis noted the political importance of the matter, stating, “A month before the election, you’d think this administration would be more engaged in trying to prevent what could be devastating for communities across America.”
The United States Maritime Alliance (UAMX), which represents all major shipping lines along with terminal operators and port authorities, has reportedly:
offered upwards of 40% in wage increases over the six-year contract, a person with knowledge of negotiations said. The ILA is reportedly asking for raises of $5 an hour, per year, which would be an immediate 12.8% pay hike on the current top pay of $39 an hour. Repeating that $5 an hour increase each year would result in raises totaling 77% during the life of the contract.
To which the ILA responded:
“My ILA members are not going to accept these insulting offers that are a joke considering the work my ILA longshore workers perform, and the billion dollar profits the companies make off the backs of their labor,” said Harold Daggett, the ILA’s international president and chief negotiator, in a statement.
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Retailers are panicking at the thought of another crippled supply chain and are urging Biden to take action by using powers granted to him under the Taft-Hartley Act , which he is apparently loath to do. According to one administration official, “We’ve never invoked Taft-Hartley to break a strike and are not considering doing so now.”