Mar 23

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You got to know when to hold ’em, know when to fold ’em, Know when to walk away and know when to run”

6 minute read
James Byrne
<strong>“</strong>You got to know when to hold ’em, know when to fold ’em, Know when to walk away and know when to run” Featured Image

889 words 4 minute read – Let’s do this!

Can you believe it’s already 2019? Oh.. I meant 2023.  But the volume of freight is pretty close to the same as it was back then. I think we still tend to forget what the world was like before the pandemic, probably because the price of everything has been so drastically inflated since then. I can’t even tell you the last time I went to the grocery store and spent under $200 and had more than 3 bags of groceries. This is why the market feels different compared to then. The scrambling to cut budget spending takes a toll on all of us in this industry, especially after almost 3 years of wild volumes and uncapped spending. The volumes will start to increase again and more problems in the supply chain will arise, that’s how it works and we get to bask in its glory. Or at least get to experience that feeling again of overwhelming relief when your most “eventful” shipment of the week finally delivers or ingates. That’s also always when a cold beer or cocktail tastes its best. 

As you see below we are trending in the direction of 2019 almost identically – and critical world events that affect the supply chain will always come into play. The future holds many uncertainties, and we are all just gamblers of life.

We try to keep our long work days fun here at Port X Logistics and one thing the team is passionate about is their DJ Fridays. They put out song requests all week and our Buffalo KAM Jordan Fenske is the appointed DJ to put together the playlist to play on Friday afternoon. I have to admit this week Gen Z broke me. They broke me so bad that I am putting a contest together. The first Non-Port X Logistics employee to email me and tell me what “ hope we got some sza stans in the chat” means, I will personally send you a Buffalo pizza.

 I will have to keep having these contests until I can speak fluent Gen Z, or at least until my 20 year old niece thinks I am cool again.  

What is going on in the west coast with the International Longshore and Warehouse Union (ILWU) now? Drama pursues while the lack of contract negotiations drags on. More pushing to get the contracts finalized.  The LA/Long Beach marine terminals are starting to experience delays since last Wednesday as union workers are standing together to take lunch breaks between the hours of 12 PM to 1 PM for the morning shift and 10 PM to 11 PM during the night shift, rather than staggering lunches to keep up with the steady stream of drivers entering the port.  Since there is no contract in place, there is no option for the Pacific Maritime Association (PMA) to intervene with the lunch break schedule and require the union to man the terminals without disruption.  

PMA and ILWU began negotiations last May, and while some matters such as health benefits have been resolved, there has been no agreement to date on core issues such as automation, wages, and pension benefits. Sources close to the negotiations say they see no indication that progress is being made, despite a joint ILWU-PMA release issued late last month that the two sides expected a contract resolution “soon.”           

Import TEU Volumes are up this week 13.925% from last week across the US. However, imports coming into the West Coast from Asia continue to decline as shippers are still choosing to rely on the East coast and Gulf coast ports for importing to avoid the disruptions taking place in LA/LGB. Asian imports into the West coast went down to 53.2 percent in February, down from 54.5 percent in January and 60.4 percent last May when ILWU-PMA contract talks began. The future definitely holds many uncertainties for the west coast ports during the ILWU negotiation battles and we could see more issues in the supply chain also. “You never count your money when you’re sittin’ at the table, there’ll be time enough for countin’, when the dealin’s done”

What is going on at the ports and rails this week? 

Amongst the start of possible congestion issues at the LA/LGB ports, you can find all the information on the below link where we cover port congestion, chassis issues and capacity lead times weekly at all U.S. and Canada Ports and rail heads

 Did you know?  Port X Logistics is proud to be a premier sponsor for the 2023 Empire State Ride. Empire State Ride has raised over $7 Million since they started 6 years ago. All the money raised goes to clinical cancer research at Roswell Park Comprehensive Cancer Center in Buffalo, NY.The event was founded by Terry Bourgeois and 6 short years later it’s turned into a movement, putting together an annual team of volunteers to raise awareness while cycling from New York City to Niagara Falls in 7 days. Follow Port X Logistics on LinkedIn and we’ll donate $5 for each ‘follow’.

ImportVolume Charts

James Byrne