Surcharges Eminent If East Coast Ports Close

Following last week’s decision by the International Longshoremen’s Association (ILA) to grant authority to its president to recommend a union strike, several shipping lines have announced potential congestion surcharges if East or Gulf Coast ports are closed in response to the ILA’s contract expiration. The vote towards a work freeze was in reaction to a break down in contract negotiations between the ILA and the U.S. Maritime Alliance (USMX), which represents steamship lines and terminals that employ ILA union members.

Specifically:
-Maersk- All shipments from U.S. and Canada: $800 per TEU, $1,000 per FEU, $1,125 per 40-ft high cube, $1,266 per 45-ft container.
-Cosco- All shipments between Asia, and from U.S. and Canada: $800 per TEU, $1,000 per FEU, $1,125 per 40-ft high cube, $1,266 per 45-ft container.
-NYK Line- All shipments to the U.S. from Asia, the Indian subcontinent and Australia: $1,000 per container.
-Hanjin- All shipments to and from the U.S. and Canadian ports: $800 per TEU, $1,000 for other sizes.

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