The ongoing strike at the ports of Vancouver and Prince Rupert in Canada has not yet caused a shift of cargo from sea to air, but the Airforwarders Association (AfA) has warned that there could still be disruptions to supply chains. Over 7,000 dockworkers from the International Longshore and Warehouse Union (ILWU) went on strike on July 1 after failing to reach an agreement with the British Columbia Maritime Employers Association (BCMEA). The AfA’s executive director, Brandon Fried, stated that if the strike continues, airports in Canada and the US may see an increase in diverted cargo as shippers try to avoid congestion and delays at the affected ports.
Despite the ongoing strike, there has been no significant shift in cargo away from the west coast Canadian ports as reported by Airforwarders Association members. However, they are closely monitoring the situation and considering diversions to other destinations if the strike prolongs. The US west coast chapter of the ILWU has stated that workers will not handle vessels diverted to the Port of Seattle from the Port of Vancouver, potentially causing supply chain congestion in the US.
The Prince Rupert Port Authority expressed confidence in reaching an agreement between the BCMEA and ILWU, emphasizing the importance of Canada’s west coast ports to the country’s economic vitality. Currently, two terminals at the Prince Rupert Port are impacted by the strike, affecting two vessels unable to discharge their cargoes. The Vancouver Fraser Port Authority reported 76 vessels waiting to berth at Port of Vancouver terminals as of July 11.
The ILWU Canada accused the BCMEA of neglecting negotiations in favor of a media smear campaign, while the BCMEA stated that talks had resumed. Both parties have been engaged in free collective bargaining since February to renew the industry-wide collective agreement that expired on March 31. The Canadian government’s Minister of Labour urged the parties to return to the bargaining table and reach a deal.
Overall, the strike at the Canadian ports has raised concerns about possible disruptions to supply chains and increased cargo diversion to airports in Canada and the US. Both parties are urged to continue negotiations and reach an agreement to prevent further disruption.
