Vancouver braces for congestion, high rail dwells through January

Port of Vancouver stakeholders expect they will have to navigate at least three more weeks of congestion as Canada’s largest port works to clear a backlog of rail containers that built up in December.

A confluence of factors — including vessel bunching at Asian load ports, a pre-Lunar New Year cargo surge, a strike by dockworker foremen in November and shorter trains due to winter operating conditions — combined to cause congestion at the port and reduce Vancouver’s railcar availability last month. As a result, the average rail container dwell time at the port’s four container terminals spiked to 6.9 days in December — the highest since last March – and up from 5.2 days in November and 4.5 days in October, according to data on the port’s website.

“We are seeing an increase in the number of vessels waiting to enter the Port of Vancouver due to arrival delays associated with winter weather in Asia and the seasonal pre-Lunar New Year impact causing a surge in volume,” a spokesperson for the Vancouver Fraser Port Authority told the Journal of Commerce Wednesday. “As such, we anticipate that high on-dock times will continue for the rest of January.”

Terminal operators and the railroads say they are chipping away at the rail container backlog and note conditions will improve further at the end of the month when import volumes are expected to drop significantly due to many factories in Asia closing for a week or two for the Lunar New Year celebrations that start Jan. 29.

Train restrictions during Canadian cold snap

Canadian National Railway (CN) in December was already recovering from a backlog of rail containers from the dockworkers’ strike and vessel bunching when a cold snap in Western Canada resulted in operating restrictions, including running shorter trains, that impacted CN’s network velocity, a CN spokesperson told the Journal of Commerce.

“CN is working closely with the port operators to clear out these volumes as the vessel discharge normalizes over the next three weeks,” a spokesperson for the railroad said. “We are already seeing some improvements and are confident that the dwell metric will fall back to normal levels as we catch up on the backlog over the next few weeks.”

Canadian Pacific Kansas City (CPKC) said Thursday its railcars are cycling efficiently through its network and that the supply of cars is good. Demand is forecast to remain strong through January, a CPKC spokesperson said.

DP World Canada, which operates the Centerm terminal in Vancouver, said it is working with the railroads to handle the increased import volumes leading up to the Lunar New Year on Jan. 29.

“We should be back to normal in a few weeks,” said CEO Doug Smith.

Meanwhile, the elevated rail container dwell times at the marine terminals have not had an impact on drayage operations in Vancouver, said David Earle, CEO of the British Columbia Trucking Association. The only change Earle said he’s noted in recent days is that a small number of inbound containers that had been booked to leave the terminals by rail are being redirected to long-haul truckers for movement inland.

Prince Rupert back to normal

The Port of Prince Rupert, which faced challenges similar to Vancouver last month, saw its rail container dwell times spike to an average of nearly 10 days in mid-December, said Brian Friesen, vice president of trade development at the port. The average dwell dropped to 6.1 days for the week of Dec. 20 and has continued to slide in January.

“The dwells are now below two days,” Friesen said. “It’s all fluid now.”

Source:

Mongelluzzo, B. (2025, January 9). Vancouver braces for congestion, High Rail dwells through January. Journal of Commerce. https://www.joc.com/article/vancouver-braces-for-congestion-high-rail-dwells-through-january-5919982

ILA, USMX reach tentative deal that avoids another port strike

The International Longshoremen’s Association (ILA) and the United States Maritime Alliance (USMX) late Wednesday said they have reached a tentative agreement on a new master contract that covers ports from Maine to Texas. While the deal needs approval from ILA locals and USMX members, it avoids another port strike and ensures shippers of labor peace along the US East and Gulf coasts for the next six years.

The ILA and the USMX said in separate statements the agreement includes language that covers the contentious issue of port automation and new technologies. While the draft language of the tentative agreement was not available, one source said that marine terminals will have some leeway in implementing new technologies in return for more longshore jobs.

Talks on a new master contract broke down in November due to the union’s concerns about the impact on jobs from the use of semi-automated rail-mounted gantry cranes (RMGs) at marine terminals.

“This agreement protects current ILA jobs and establishes a framework for implementing technologies that will create more jobs while modernizing East and Gulf coast ports — making them safer and more efficient and creating the capacity they need to keep our supply chains strong,” the statement said.

Details of the agreement were not publicly disclosed, pending final approval by both sides.

The deal was reached a week before a Jan. 15 strike deadline that was set in October at the end of the three-day ILA strike that was settled with an agreement on wages.

The 45,000 dockworkers at East and Gulf coast ports will work under the current contract until the tentative agreement is ratified by the wage-scale committees of local unions. But sources indicate that the locals are likely to support the contract negotiated by ILA President Harold Daggett and Executive Vice President Dennis Daggett.

The breakthrough came after four days of talks in Teaneck, New Jersey, on a new master contract. Those talks included side discussions on the impact of new technology on longshore jobs, ahead of broader talks that restarted on Jan. 7 that covered benefits and specific longshore crafts such as checkers and clerks.

In December, the union enlisted President-elect Donald Trump to advocate on behalf of their stance against automation. On Wednesday, the ILA issued its own statement thanking Trump for his “bold stance [that] helped prevent a second coastwide strike.”

“President Trump clearly demonstrated his unwavering support for our ILA union and longshore workers with his statement ‘heard round the world’ backing our position to protect American longshore jobs against the ravages of automated terminals,” Harold Daggett said in the statement.

Source:

Angell, M. (2025, January 8). Ila, USMX reach tentative deal that avoids another port strike. Journal of Commerce. https://www.joc.com/article/ila-usmx-reach-tentative-deal-that-avoids-another-port-strike-5919519

ILA, USMX contract talks set for Jan. 7 restart ahead of strike deadline: sources

The International Longshoremen’s Association (ILA) and United States Maritime Alliance (USMX) are set to resume talks for a new master contract on Jan. 7, sources said Tuesday.

The scheduled resumption of negotiations leaves a small window before the current contract extension runs out on Jan. 15 and a likely second strike by the ILA hits ports along the US East and Gulf coasts.

The ILA and USMX declined to comment on the status of talks that affect 45,000 dockworkers.

While the ILA and USMX have come to terms on wages for a new master contract, the formal negotiations have stalled since mid-November. The union and maritime employers remain stuck on what provisions the new master contract will include about port automation.

The ILA has taken a hard line against automation technology at ports under its jurisdiction. It singled out semi-automated rail mounted gantry cranes (RMGs) as a technology that it wants to bar from further implementation at East and Gulf coast ports under the new contract. The USMX countered that technology, including RMGs, boosts port productivity and creates more opportunities for longshore workers.

Progress on the talks have been further complicated by the attention of President-elect Donald Trump, who sided with the ILA’s stance against automation.

Source:

Angell, M. (2024, December 31). Ila, USMX contract talks set for Jan. 7 restart ahead of strike deadline: Sources. Journal of Commerce. https://www.joc.com/article/ila-usmx-contract-talks-set-for-jan-7-restart-ahead-of-strike-deadline-sources-5913854