The ILWU (West Coast Dock Workers Union) now have a tentative agreement with the PMA (Pacific Maritime Association).
The agreement has not been ratified by either group yet, and will be voted on by the union workers in the coming months.
At this time, we believe the risk for a strike, work slowdown, or other disruptions has been negated.
Port of Vancouver
Throughout July there were labor disruptions due to the lack of union contract. While a final agreement has not been ratified by the union workers, there is a tentative deal and the port is operating normally.
A deal was reached days before their potential strike, union workers will vote to ratify this deal in August.
At the start of August, we see that all US ports are operating with minimal delays.
Ocean Fuel (VLSFO) trended down through Q3 and Q4, the price was volatile throughout Q1. Through Q2 2023, price has dropped slightly compared to Q1 and has been stable.
This fuel type is up roughly 25% over its 2019/2020 levels.
Diesel in the USA as the start of July is $4.12 a gallon (California is $1.03 more per gallon)
While diesel has seen slight declines throughout the first half of the year, the price continues to keep freight prices high.
Additionally, average diesel prices reported by EIA.gov are typically lower than truck stop prices, and are average across large sections of the country.
June imports continue the overall 2023 trend of mirroring 2019, with slight growth.
East / Gulf Coast Ports volume compared to the West Coast ports is nearly identical.
The west coast ports could overtake the east coast ports now that overall reliability is good and union contract issues are likely no longer a factor.