Labor Strikes at U.S. Ports Highlights Interstate International’s Flexible, Transparent Approach to Freight Forwarding

U.S. East Coast and Gulf Coast dockworkers began their first large-scale strike in nearly 50 years on Tuesday, Oct. 1, halting the flow of about half the country’s ocean shipping, after negotiations for a new labor contract broke down. The International Longshoremen’s Association union, which represents 45,000 port workers, had been negotiating with the United States Maritime Alliance (USMX) employer group for a new six-year contract, but couldn’t reach an agreement ahead of a midnight Monday deadline.

The strike blocks everything from food to automobile shipments across dozens of ports from Maine to Texas. President Joe Biden and his administration have repeatedly said they will not use federal powers to end the strike.

The strike is yet another complication for the international shipping industry, which in recent years has had to reckon with post-pandemic supply chain issues and attacks by Houthi militants in the crucial Red Sea shipping corridor. Even if an agreement is reached relatively soon, it is estimated that each day of port closure requires approximately one week to clear the resulting backlog.

Fortunately, this strike did not catch the industry by surprise. For the past few months, Interstate International has been preparing in the event of strike related port closures by adjusting shipment routing without sacrificing our commitment in providing best in class freight forwarding services to our clients.

During Interstate’s eight decades of logistics experience, we have developed a strong network of partnerships, both domestically and internationally. With this network already in place, we assemble the most experienced partners across any region for developing and executing strategies to reroute cargo. 

“We work closely with our partners, including steamship companies and ground transportation operators, to make real-time assessments to capabilities as the situation remains fluid,” said Ruth Moritz, Vice President and General Manager of Global Relocation.

Interstate has always practiced a “roundtable” approach to freight forwarding: The client and partners are always active participants in the development and execution of the logistics plan.  No matter where in the world, they have a seat at each project meeting. This approach is particularly important during this turbulent moment for sea freight.

“Tight cargo scheduling and deadlines are further put to the test during events such as port strikes, which make real-time updates and real-time visibility paramount to maintaining client satisfaction and trust,” said Moritz. “As our client, you’ll remain aware of your cargo’s whereabouts to be an active participant in the solution.”

Interstate’s commitment to transparency throughout the shipping process also extends to pricing. Contingency shipping routes and deadlines require updated pricing, and Interstate is always open and up-front about any changes to our prices.

The business of international shipping never runs quite according to plan: adverse weather, labor issues, and geopolitical strife are always a threat. But when you work with a freight forwarder like Interstate International—a trustworthy and transparent partner in any cargo project—you will be empowered to make the best decisions for your clients and your bottom line.