Trucking

Ripples of the Suez Canal blockage by the truck industry

[Stay on top of transportation news: Get TTNews in your inbox.]

The container ship that blocked the Suez Canal has been removed for a long time, but the spillover effect of the delay it created could be felt throughout the supply chain for some time, experts said.

“This is one of the developing stories,” Dean Croke, chief analyst at DAT Solutions, told Transport Topics. “The spillover metaphor is very appropriate, because most experts believe it has a spillover effect that lasts until summer.”

Cloak said in the first three months of this year, 36% of the container volume to New York Harbor and New Jersey came from the Suez Canal, and 22% of the volume at Savannah, Georgia. ..

On March 23, an Evergiven container ship was stranded in the southern part of the canal. It took almost a week to release it.

Paul Bingham, director of transportation consulting at IHS Markit, told TT that the port slowdown caused by the blockage was set to drive an influx of activity in the short term.

Bingham

“It will give up some work availability for some truck drivers for a week or two,” Bingham said.

Glenn Jones, Global Vice President of Product Strategy at Blume Global, a supply chain technology developer, said turntime at the port was also a factor.

“If there is a large influx and those containers come off, the number of containers that need to be moved back to the terminal is four times higher than normal,” Jones told TT. “Therefore, if there was a carrier or carrier issue before, it was just emphasized now. And that’s exactly what happened.”

Bingham pointed out that the supply chain (especially truck drivers) could catch up for some time beyond the initial impact.

“The impact on truck drivers will last longer,” he said. “They are already planning to put the ship back in Asia, reload it, and then back in the United States. For example, one month. Well, the ship will be late. You can’t catch up with it right away. And , It may be a period of several months. “

road sign

Only 14.3% of the truck driver population is African-American, 13% Hispanic and 7% Asian. In this episode, host Michael Freeze wonders what industry leaders are doing to increase these percentages. We talk to two truck industry experts who have implemented their own practices that contribute to a more diverse labor community. Listen to the snippet above and visit the following URL to get the entire program: RoadSigns.TTNews.com..

Mr. Cloak said that important items that pass through the canal include goods such as oil transportation and furniture, plastic products, auto parts, and even bananas, so truck drivers who carry these goods will prepare. I said it was necessary.

“Carriers involved in the transportation of such things will be affected,” Cloak said.

He also said that the blockage exacerbated the existing shortage of empty containers, as the containers on Ever Gived’s deck were not available during the blockage. This meant that truck drivers were less able to carry cargo inland and load it onto ships.

“That’s why some exporters have problems getting equipment,” Cloak said. “Shipping companies are reluctant to send containers inland, and utilization has been lost for weeks.”

Glenn Koepke, vice president of network support for supply chain management developer Four Kites, said congestion at the ports in Los Angeles and Long Beach has also hit truck drivers, but he hopes a pardon will come. doing.

“I think it will continue to be more destructive for maritime trade and purchases to the United States,” he said. “If this goes away in three or four months, will things be balanced and smooth? I think the answer is yes.”

Want more news? Listen to today’s daily briefing below Or for more information, please click here.

https://www./articles/suez-canal-blockage-ripples-through-trucking-industry Ripples of the Suez Canal blockage by the truck industry

Back to top button