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Dock workers strike could halt US trade

The reason is the lack of an agreement on working conditions and wages

Oct 1, 2024 18:33 286

Dock workers strike could halt US trade  - 1

Workers strike at more than 30 ports on the US East Coast, through which passes 25% of US exports and imports, could paralyze the country's trade, warned the newspaper Financial Times (FT).

He cited the assessments of experts from the research center The Conference Board, who believe that the shutdown of the ports will "paralyze trade" USA as a result of the “suspension of imports of food, pharmaceuticals, consumer electronics and clothing”. Analysts from the American bank JPMorgan surveyed by the publication believe that the downtime of American ports can cause daily damage to the American economy in the amount of 5 billion USD.

At the same time, experts note that if the strike lasts no more than two weeks, only the areas most dependent on port supplies, such as the city of Savannah (Georgia), will suffer significant losses. If the action lasts longer, it will lead to a shortage of goods and a rise in prices across the country. This will affect food and cars the most.

It was previously reported that tens of thousands of longshoremen on the US East Coast went on strike, walking off the job after midnight on October 1st. The reason for the strike was that the International Shipowners' Association and representatives of the American shipping industry could not agree on a new agreement on working conditions and wages. The White House has urged the Port Operators Association USMX to quickly resolve differences with the union. US President Joe Biden has said he has no intention of stepping in and doing anything to prevent the strike.