Further to RIM’s June 2nd update, there continues to be occasional terminal closures and reduction in productivity at several terminals at the Ports of Los Angeles, Long Beach, and Oakland, as the International Longshore and Warehouse Union (ILWU) and Pacific Maritime Association (PMA) continue to hold contact negotiations. These closures have impacted productivity at the previously mentioned ports since this past Friday, June 2nd. Based on updates received through multiple sources close to the discussions since last week, conditions at the terminals is expected to deteriorate and may impact cargo moving in and out of West Coast ports in the United States until further notice. Intermittent partial shutdowns or lockouts are expected to hinder the movement of freight, and the possibility does still exist for widespread strike action. While no strike has been announced, RIM encourages their clients to plan accordingly, as no agreement between the ILWU and PMA is imminent.

The ILWU and PMA have been working on a renewed labor contract covering all major West Coast ports since the previous contract expired in June of 2022. Since that time, both sides have been negotiating without a ratified contract with limited disruptions at the terminals over the past year. Significant progress had been made on a tentative agreement over the past two months; however, no immediate agreement is in sight.  Previously, both the ILWU and PMA jointly announced there would be no work stoppages or lockouts while the contract is being negotiated.

RIM logistics, ltd. will continue to closely monitor the situation and keep you advised of any updates as they become known. Please contact your RIM representative should you have any questions or need additional information.