U.S. West Coast ports are handling ocean containers at record highs, with the port of LA closing out its best first quarter in history.

The port congestion has decreased, but as we prepare for an early peak season, the focus will be on the port labor negotiations scheduled to begin on May 15. The fear is that a potential strike could stop cargo flow.

On July 1, the current contract between the International Longshore and Warehouse Union (ILWU) representing dockworkers and Pacific Maritime Association (PMA) representing their employers- the ocean carriers and port operators, will expire.

An expected hot button issue is terminal operators seeking to expand port automation which is perceived to replace jobs.

Pressure tactics used by PMA in the past, like dockworker lockouts and reduced work hours, may not work today with President Biden’s encouragement to keep ports open 24/7.