The tentative agreement to suspend the International Longshoremen’s Association (ILA) strike might relieve consumers and businesses, but logistics experts warn that the deal is far from finalized. If the agreement falls through, how should we prepare for the potential shortages of goods that could follow? I have a few suggestions.
Certain products, especially perishable ones, could be affected. For instance, seafood like cod from Iceland or Canada and shrimp from Thailand or Ecuador require refrigeration, making them difficult to transport by train. If you enjoy these items, consider purchasing a freezer and stocking up while supplies last.
Cell phones and computers, now often sourced from Southeast Asian countries like Vietnam, Indonesia, and Thailand instead of China, are shipped through East Coast ports. Disruptions could lead to shortages of these electronics. If you plan to buy these items soon, it’s best to act now.
Pharmaceuticals might also be impacted. Although many drugs are shipped by air, a prolonged strike could lead to shortages in about a month. It’s wise to consult your doctor about securing a 90-day supply of essential medications.
European cars and auto parts, frequently shipped through East Coast and Gulf Coast ports, could face delays. The Port of Baltimore, Maryland, is a key hub for car shipments in the U.S. My only advice is to prioritize buying American-made products.
Wine, beer, and spirits imported from Europe, South America, and the Caribbean may also be affected. Fortunately, there are plenty of domestic alternatives for U.S. consumers.
Bananas, of which 75% enter the U.S. through East and Gulf Coast ports, may become scarce since the fruit is too perishable to ship economically by air. Other produce may become scarce, or prices could skyrocket.
So, how likely is a prolonged dockworkers’ strike? While the union and port operators have reached a tentative agreement on wage increases in the new master contract, the issue of port automation remains unresolved. It could be a sticking point in the negotiations. The ILA has clarified that it opposes any form of automation, stating that “no automation means no automation.” This stance raises concerns that a strike could still happen.
As Zig Ziglar used to say, “Plan for the best, but prepare for the worst.” With the potential dockworkers’ strike, I’m choosing to prepare for the worst.
