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Actions Being Taken to Open Up the Supply Chain

A focus on the transportation system.

There have been plenty of supply chain disruptions brought on by the COVID Pandemic. One that is persisting is the backlog of goods now "not-moving" through the transportation system here in the United States.

See this story, White House: Walmart, FedEx, UPS to go 24/7 to address supply bottlenecks

Which is all well and good, but the neck of the "bottle neck" is at our ports of entry for goods coming from Asia. Besides getting more trucks moving 24/7 you need the backlog of ships waiting to be unloaded in Southern California to be alleviated.

The Port of Los Angeles has now pledged to start working 24/7. So what has prevented them from doing so before this—likely the cost of labor. Terminals don't like having to load and unload cargo during swing and night shifts due to the additional shift differential in pay that goes to the ILWU longshore workers.

Somewhere along the way an agreement must have been reached to up the ante and get more ships cleared from the back-load of those at anchor waiting their turn.

This back-up of ships will not be cleared anytime soon. Likely it will take a few months of a surge effort to get back to the "new normal."

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