Financial Associated Press, September 24th (Editor Zhao Hao) On Tuesday (September 24th) in the European session, MSC's B-shares traded in Denmark once surged by nearly 4.9%, reaching the highest level since August 2, with an accumulated increase of almost 20% in the past two weeks.

During the day, this global marine transportation giant announced its decision to impose a "local port interruption surcharge" on all goods to and from the U.S. East Coast and Gulf Coast areas to offset the high costs brought by the "potential labor disruption".

Last week, the International Longshoremen's Association (ILA) accused the United States Maritime Alliance (USMX) of paying workers too low wages and threatened that if a new agreement is not reached before the contract expires on September 30th, ILA's 25,000 members will go on strike.

ILA President Harold Daggett wrote in a statement, "My members have been preparing for the possibility of a strike for over a year. If a new contract agreement is not in place, the sleeping giant will roar on October 1, 2024."

According to reports, the expiring contract covers all ports from Maine to Texas, involving about 60% of the U.S. shipping volume, and their closure would have a "devastating impact" on the U.S. economy.

Last Friday, a spokesperson for the Port Authority of New York and New Jersey told the media, "The Port Authority is coordinating with partners throughout the supply chain to address any potential impacts," "We urge both sides to find common ground, keep goods flowing, and promote the national economy."

But as of Monday, the differences between ILA and USMX still appear significant, with both sides issuing conflicting statements about their willingness to negotiate. USMX stated that they have tried multiple times to contact ILA and resume negotiations, "but we have been unable to schedule a meeting."

At the beginning of this month, MSC Mediterranean Shipping Company notified customers in advance that they would start charging a 'emergency operation surcharge' on containers from October 1st. Subsequently, well-known shipping companies such as CMA CGM and Hapag-Lloyd also followed suit with similar surcharges.

Source: Hapag-Lloyd official website

For shipping companies including Maersk, a potential strike will deepen the level of global trade disruptions in recent years, and they will increase freight charges to customers, similar to what they did during the COVID-19 pandemic and the Suez Canal blockage.

Maersk stated that even if a strike in the USA lasts only one week, it could have a huge impact on the supply chain, causing a disruption of four to six weeks. Grace Zwemmer, Assistant Economist at Oxford Economics Research Institute, believes in the report that 'a two-week strike could disrupt the supply chain until 2025.'

Today, Xeneta, a shipping pricing platform, Chief Analyst Peter Sand said, 'the consequences will be very serious. Currently, billions of dollars worth of goods are en route to the United States by sea, these ships cannot turn back, nor can they head to the US West Coast.'