Historic strike threat at U.S. ports may disrupt half of cargo traffic
In a historic move, The International Longshoremen’s Association is threatening to strike - walking off the docks of ports that handle about half the ship cargo coming in and going out of the U.S.
45,000 workers from 36 different ports ranging from Main to Houston have made demands around pay and automation to the United States Maritime Alliance, which represents the ports.
The two sides have been gridlocked in negotiations and on Tuesday, the workers vowed to start the picket line. Experts say the American economy will take a hit.
Historic strike threat at U.S. ports may disrupt half of cargo traffic
A looming strike by 45,000 workers of the International Longshoremen's Association could halt operations at 36 ports, affecting economic stability and consumer goods supply. With negotiations stalled, the potential strike could cause extensive economic damage and consumer inflation. While immediate effects may be muted, extended action could lead to shortages and order delays.
"For every day [that workers strike] anything from 5 hundred million to a couple of billion," said Ed Emmett, fellow in energy and transportation at Rice University’s Baker Institute for Public Policy & former Harris County Judge.
RELATED: FOX Local Special - Impending Port Workers Strike
And the impact can be felt in consumer homes - depending on how long the strike lasts.
"I think the immediate effect will be minimal - the issue is if this is a prolonged work stoppage - if that's the case - you'll have inflationary issues. It's basic supply and demand," said Margaret Kidd Program director & assistant professor of supply chain logistics and Technology at the University of Houston.
The ships affected are carrying containers, which transport dry goods like appliances, food, and construction materials. She says the consumer could see a shortage of imported fruits and vegetables along with any specialty items from Europe, Central and South America like alcohol and cheeses.
The port of Houston's largest import and export is Petroleum, but those workers aren't a part of this strike.
"This won't have any impact on the petrochemical industry or anything like that," said Emmett. "Which products get affected, it remains to be seen," he said.
When it comes to your Amazon orders, delays are possible depending on the order of the product.
"I don't think domestic mail service will be impacted. If you're ordering something online from China, India… The chances of it being delayed are high," said Kidd.