A growing number of container ships on Tuesday were waiting out the labor lockout at British Columbia ports in hopes of a speedy resolution. Meanwhile, on the other side of the country, the strike at marine terminals in Montreal is halting all rail service at that port.
Maersk said in an advisory that two ships in its TP1 service, the 6,350-TEU Marcos V and the 8,714-TEU San Felipe, are currently at anchorage at the ports of Vancouver and Prince Rupert, respectively. A third ship, the 5,085-TEU Seattle Express, is still expected to call Vancouver’s Fraser Surrey terminal this week, with any change in its rotation contingent upon the duration of the port’s closure.
Container terminals at Vancouver and Prince Rupert were effectively shuttered after the British Columbia Maritime Employers Association locked out members of the International Longshore and Warehouse Union Local 514 following a strike vote by its members. The strike by longshore foremen began Monday morning.
The two sides remain at odds over terms of a new contract as well as the implementation of new technology at DP World’s Vancouver terminal. The prior contract expired in March 2023.
Management is still onsite at Vancouver terminals monitoring refrigerated containers, according to a person familiar with the issue, but truck gates and berth operations are halted. Vancouver is Canada’s largest container terminal.
The 12,726-TEU YM Target remains at berth at Vancouver’s Deltaport, with initial plans to wait out the work stoppage, the source added. Three other container ships are at anchorage outside of Vancouver, while the 4,250-TEU Cosco Auckland remains at berth at Prince Rupert.
The backlog of ships, though, may grow. The Vancouver Fraser Port Authority said Tuesday that seven container ships have requested an anchorage at the port.
While trying to maintain vessel schedules, Maersk is offering shippers relief from any charges associated with the work stoppage. It has suspended demurrage and export container detention across British Columbia ports, but Maersk said it is “still maintaining certain conditions for import detention.” The carrier said it will also open off-dock empty return locations for containers.
The work stoppage along Canada’s West Coast has also shut down rail operations. Canadian National Railway (CN) suspended westbound rail service to British Columbia ports, with Canadian Pacific-Kansas City (CPKC) also stopping acceptance of export and empty containers for British Columbia.
CN suspends Montreal service
The shutdown of Canada’s West Coast ports comes as longshore workers affiliated with the Canadian Union of Public Employees Local 375 stage an indefinite strike against two marine terminals operated by Termont in Montreal.
The Termont strike is also forcing CN to suspend all rail service in and out of Montreal, including at the Racine and Cast terminals operated by Montreal Gateway Terminals, which are not affected by the strike, Hapag-Lloyd said in an advisory Tuesday. The suspension also includes interchange services with CSX Transportation and Norfolk Southern in the Ohio Valley.
“This action is due to operational constraints and uncertainty arising from the ongoing renewal of the Montreal longshoremen collective agreement,” Hapag-Lloyd said. “As a result, CN will suspend and remove all capacity at their inland terminals for exports destined for Cast and Racine until further notice.”
Separately, Montreal’s Maritime Employers Association (MEA) started suspending salary guarantees for striking longshore workers Tuesday, saying it was necessary to “reduce the cumulative financial impact of repeated strikes and lower volumes at the Port of Montreal.”
Source:
Angell, M. (2024, November 5). BC container ports set for shutdown after foremen begin strike. Journal of Commerce. https://www.joc.com/article/bc-container-ports-set-for-shutdown-after-foremen-begin-strike-5785499