Some ocean carriers are invoking 'force majeure' as a result of the Port of Baltimore bridge collapse and telling shippers including U.S. retailers that once cargo is dropped at alternate ports, it's no longer their responsibility.
The supply chains for major wood panel importers, including Lumin Forest Products, Sudati, and Arauco, also rely heavily on Baltimore. The urgency of picking up diverted containers has increased as ocean carriers declare "force majeure" on Baltimore-bound containers once the boxes arrive at the diverted port, and companies who have imported their products need to to find transportation to move the cargo before container late fees are charged.
"We are looking to see if terminals will either give an extension of free time or waive the fees," Brashier said. "That's the rub right now."To help navigate the supply chain slowdowns during crises and disruptions, the U.S Department of Transportation created a private/public digital platform for supply chain monitoring called Freight Logistics Optimizations Works It was.
While the FLOW program has expanded considerably over the last two years, not all East Coast ports are in the database. Out of the diverted ports, New York/New Jersey and Savannah, are included.CH Robinson expects rail services to return to Baltimore later this week, but Castle added, "Ocean containers headed to the port, primarily from Chicago, will pile up and not be able to move outbound for export.
One of the biggest concerns among logistics companies is availability of chassis for both truck and rail to handle the diverted cargo. Logistics managers have told CNBC the ports of Savannah, Brunswick, Virginia, Charleston, and New York/New Jersey are expected to be receiving the diverted freight. The ports tell CNBC they can receive the extra cargo, but logistics managers are concerned about the availability of chassis to receive the extra freight.
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