December 20, 2012
Dear Valued Customer,
Contract negotiations between the ILA (International Longshoremen’s Association) and the U.S. Maritime Alliance (USMX) ended abruptly Tuesday, December 18th. With the end of the mediation period quickly approaching, there is an increased likelihood that the ILA will go on strike December 29th. The ILA represents 15,000 dock workers handling containerized, and roll-on and roll-off cargo operations at a majority of terminals on the U.S. East and Gulf Coast ports. A prolonged strike at affected locations would have a severe impact on freight movement to and from these ports, as well as all regions of the country.
In anticipation of significantly increased port congestion due to labor issues, carriers have announced congestion surcharges that will be applied on a per container basis. CaroTrans has also filed a congestion surcharge of $20 w/m to coincide with these carrier increases. Contingency plans have been established for a potential ILA strike similar to those implemented after Hurricane Sandy closed New York ports and the OCU/ILWU strike closed a number of Los Angeles and Long Beach Terminals.
If necessary, viable diversion options will be explored to maintain our customer’s transit time integrity. No action to divert freight from its originally booked routing will be taken without your consent. All plans are booking specific and will be directed by our CaroTrans Export and Import Customer Service Teams.
Shipment tracking updates will be provided at regular intervals in the event of a strike. Information on shipments status is always available on our website, carotrans.com, and reflects the most current data in our system.
If this strike comes about, we will work to minimize disruptions to your customer’s supply chain and quickly update you on this event. If you have any questions, please contact your CaroTrans sales representative.
Thank you for using CaroTrans International
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