As 2025 approaches, U.S. shippers are bracing for a potential perfect storm in the global supply chain.
- The threat of new tariffs from President-elect Donald Trump and a looming strike at East and Gulf Coast ports is creating unprecedented uncertainty.
- Shippers face a difficult decision on how to manage inventory with the anticipation of both tariffs and a possible strike that could disrupt port operations as early as mid-January.
- Trump’s proposed tariffs, ranging from 60% on Chinese imports to 10-20% on all other foreign goods, are likely to increase prices and slow consumer spending.
- The ongoing dispute over automation at U.S. ports could lead to another strike by the International Longshoremen’s Association (ILA), halting operations and exacerbating delays.
- Logistics companies like C.H. Robinson are advising clients to front-load freight in anticipation of both events.
- This strategy could be short-lived if suppliers can’t meet the demand, and the Lunar New Year in Asia could further complicate timing.
- Many companies are stockpiling inventory, fearing that the delays could last weeks, similar to the backlog after the October strike.
- With tariffs set to raise costs and strikes possibly crippling port operations, U.S. businesses face a turbulent road ahead, navigating rising prices and supply chain chaos.
