“That will create this cumulative effect of reduced product flow throughout the supply chain.” “If you have a system that has limited capacity across the board and a spike in demand, most parts of the supply chain system will not be able to function fully,” Kuppusamy explained. A shortage of chassis - the platforms used to transport containers once they are unloaded from ships - is contributing to the backup, as vessels arriving at ports can’t offload their cargo, Kuppusamy said. Ports and warehouses are overwhelmed with cargo containers that have nowhere to go. Limited Infrastructure and Shortage of Labor The Port of Los Angeles saw near-record traffic in August, and expects “significant volume headed our way throughout this year and into 2022,” Seroka said at a press briefing in September. imports from Asia, are feeling much of the strain, Kuppusamy said. West Coast ports, which handle the bulk of U.S. imports from Asia,” Saravanan Kuppusamy, assistant professor at Rowan University’s Rohrer College of Business, told us in a joint phone interview with a colleague, Qazi Shaheen Kabir. “Because of the pandemic, there was a huge spike in demand, and obviously that increased U.S. The pandemic has exacerbated that congestion, as consumers shifted spending to goods and away from travel and entertainment, overwhelming the supply chain, the Washington Post reported. There’s congestion throughout the supply chain.” The problem isn’t unique to the U.S., he noted. “That’s not something anyone in the industry is talking about,” McLaurin said. Industry officials and observers dismissed the idea that the Biden administration is deliberately causing the logjam. We’re at that point, and we have been for a while.” You can only move it so fast you can only pile it so high, and then you just run out of space. “At some point, you can’t violate the laws of physics. “We’ve never seen this amount of cargo,” McLaurin said. The pandemic has exacerbated a situation that’s been building for years, as growing consumer demand for imported products comes up against an aging supply chain, John McLaurin, president of the Pacific Merchant Shipping Association, said in an interview with. Meanwhile, COVID-19 has kept many workers away from their jobs, and rail, truck, terminal and vessel operators are struggling to keep up, Seroka said. “It’s a pandemic-driven buying surge unlike one that we’ve ever seen from the American consumer,” Gene Seroka, executive director of the Port of Los Angeles, said at a press conference in February.
Marine terminals and trucking companies have been unable to keep up with the volume, resulting in bottlenecks at ports and rail yards from California to New York. In fact, c argo traffic has been rising since the pandemic took hold, as homebound Americans began ordering goods online, with a record number of ships waiting to enter ports at Los Angeles and Long Beach. “Then, releasing everything in October they brag about the surge in 4th quarter spending and the robust economy they’ve created.” “If you want to put a sinister twist on this, imagine a government putting a choke hold on goods entering the U.S.,” the post says. Mandate,” one said.Īnother post links to the same image, which it says is a screenshot from a tracking app.
Comments on the post picked up on that unfounded claim, sensing a coordinated plan behind a map of offshore ships. One Facebook post says the Biden administration is “orchestrating” product shortages by denying foreign ships’ entry into ports around the U.S. Container ships are anchored by the ports of Long Beach and Los Angeles as they wait to offload on Sept.
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