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European port congestion to be exacerbated by second Liverpool strike
Date:2022-10-13 Readers:
LOGISTICS experts are warning the strike at the Port of Liverpool which started two days ago will add to the existing delays in product delivery caused by the prior strikes at Felixstowe and Liverpool.

Dockworkers in Liverpool, a significant UK port and a port where the US is the number one trading partner, started a seven-day strike from October 11-17.

The Unite union told CNBC they will continue to hold these strikes until their pay matches inflation. Inflation in the UK is currently at 12.3 per cent. Previous wage offers the union rejected were between 7 and 8.3 per cent.

Trade productivity at Felixstowe, the UK's largest container port, and Liverpool have suffered as a result of various labour strikes since August. As a result, the diversion of trade away from the ports has created a snowball of congestion at other ports in Europe.

Before the last round of strikes, Andreas Braun, Europe, Middle East, and Africa ocean product director of Crane Worldwide Logistics, was warning the delays in products arriving into the UK once off a vessel would be 45 days.

Recently the Unite union said they are not ruling out a third strike in Felixstowe.

"The prior strikes in Felixstowe may have ended, but congestion at the port is on the rise," said Alex Charvalias, supply chain in-transit visibility lead at MarineTraffic.

While the situation in Felixstowe worsens, other ports are being disrupted as a result of the prior strikes in Felixstowe and Liverpool.

"The Southampton port has already started facing the disruptions," Mr Charvalias said.

The weekly average TEU capacity waiting off port limits seems to be the highest recorded in recent months reaching 37,593 TEU during the last week of September.
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