Side effect of lockdown | North America's biggest container port faces record backlog

Side effect of lockdown | North America's biggest container port faces record backlog

Figuring all of this out is crucial towards the end of the year because retail items are in high demand as holiday shopping begins to kick off. Automotive parts are being prioritized because U.S. auto manufacturers and many suppliers through the Midwest are waiting on components so they can build their final products. There is congestion across the board and prices are rising.

"We had 25% of all cargo on our dock sitting here for 13 days or longer and that's been cut in just about half over the last week," Seroka said.

Biden announced the they would move to a 24/7 operating schedule. While this has alleviated some of the congestion, Seroka said they are not expecting to see the import market strengthen until February 2022.

"We've been buying more than ever as American consumers and the retailers have really tried their best to keep up with demand," Seroka said. "The second quarter of next year is going to be focused on replenishing this inventory."

Around the world, ports are congested because of the rapid rebound in demand for goods while the global economy is trying to recover from the unjust lockdowns. Shipping costs have soared, and companies wanting to move goods are struggling because there aren't enough ships or containers available. All the while prices are going up for consumers across the board. This will be an interesting holiday shopping season, that's for sure. I thought Biden was going to be building back better, but things look like they will only get worse.

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