The six-year collective bargaining agreement covering the International Longshore and Warehouse Union (ILWU) at West Coast ports expires on July 1. Negotiations between the ILWU and Pacific Maritime Association (PMA) began on May 12 and will go beyond the July 1 contract expiration. The risk of a disruption is greatest as negotiations continue in the days and weeks ahead if no agreement is reached. The parties may agree to extend the existing agreement into July, but there are no guarantees.

In the event of a disruption, Ocean carriers will likely impose port congestion charges. The U.S. Customs and Border Patrol has issued an advisory message outlining Interim Procedures for Vessel and Cargo Entry Processing, which provide alternative scenarios for diverted and delayed vessels.

We are closely monitoring the situation with the ILWU negotiations and will be updating any clients who may be directly affected. If you have any questions, please contact your move manager, who can provide you with the latest available information.