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LA port says its ready for another dockworker strike
An aerial view of the Port of Los Angeles.
(
Mario Tama
/
Getty Images North America
)
Topline:
The Port of Los Angeles saw an increase of more than 15% of cargo this November compared to the same month in 2023 as it prepares for an uncertain 2025. The Port of Long Beach, meanwhile, reported its busiest November ever.
What the port is saying: Gene Seroka, executive director of the Port of Los Angeles, said today that the increase in cargo is due to strong consumer spending, companies bracing for Donald Trump's proposed tariffs, and ongoing disruption in the Red Sea, pushing more cargo to the West Coast. He also pointed to ongoing negotiations between port employers and dockworkers on the East and Gulf Coasts, which could lead to another strike in January.
How tariffs could impact the ports: Trump has promised tariffs on all imported goods once he returns to the White House. Seroka said this has led to a "period of front-loading" goods, and volume at the ports could decline once those tariffs are enacted.
"The concern and unpredictability surrounding tariffs will likely dominate our discussions around global shipping to start off 2025," he said.
What would a strike mean: A potential labor stoppage could also impact the ports of L.A. and Long Beach. Dockworkers on the East and Gulf coasts went on a three-day strike in October before agreeing to return to work after securing big wage increases. That temporary deal is up on Jan. 15, and the International Longshoremen's Association has not yet reached a deal over automation.
What does this mean for dockworkers? Without an agreement, the around 45,000 dockworkers could walk out again – affecting the global supply chain and potentially sending more goods to Southern California. Seroka said in the press briefing that the Port of Los Angeles has capacity for more cargo.
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