Potential port strikes send ripple effects through supply chain, threaten inflation

The threat of potential port strikes on the U.S. East Coast and Gulf of Mexico is causing concern across the supply chain, potentially leading to delayed shipments and increased costs, especially for holiday-related goods. George Kochanowski, CEO of logistics firm Staxxon, warned that delays and the cost of handling empty containers will raise prices.
The International Longshoremen’s Association (ILA) is negotiating for 45,000 dockworkers and may strike if a new deal isn’t reached by October 1. Increased freight congestion and delays are already being felt, particularly on the West Coast, as some companies, like Goya Foods, prepare by adjusting logistics. However, stakeholders like Norfolk Southern Railway are working to mitigate disruptions.