What the East and Gulf Coast Port Strike Means for You

Tens of thousands of dockworkers from Maine to Texas went on strike Tuesday, halting deliveries of everything from bananas to sneakers in major ports along the East and Gulf coasts.

The walkout, the first for the roughly 45,000-strong International Longshoremen’s Association since 1977, won’t impact consumers at the onset given many businesses, retailers and logistic companies have been preparing for a looming strike by importing products earlier and shifting deliveries to the West Coast.

Still, if it lasts for several weeks it could increase prices and create shortages of goods across the country. Furthermore, The Conference Board estimates the strike could cost the U.S. economy $3.78 billion weekly, or $540 million per day. Just one week could create slowdowns through the middle of November, economists predict. ​

“A port strike would paralyze U.S. trade and raise prices at a time when consumers and businesses are starting to feel relief from inflation,” says Erin McLaughlin, senior economist at The Conference Board. It also comes with the official kickoff to holiday shopping only a few weeks away.

Ripple effects

More than half of goods may be impacted. The 36 ports on the East Coast and Gulf Coast handle 57 percent of the goods coming in and out of the U.S., including 75 percent of dairy products, eggs and honey; 70 percent of coffee, teas and spices; and 61 percent of essential oils, perfumes and cosmetics, according to Oxford Economics. Meanwhile, about 40 percent of U.S. footwear was imported through the East and Gulf coast ports last year and so far in 2024, 32 percent of footwear imported to the U.S. went through those ports, according to the American Apparel & Footwear Association. As for produce and food, 75 percent of the nation’s supply of bananas, nearly 90 percent of imported cherries, 85 percent of canned foodstuffs, 82 percent of hot peppers and 80 percent of chocolate are off-loaded from containers at these ports, according to the American Farm Bureau Federation. Other goods that could be impacted include wood, wine and spirits, toys and automobiles. ​

 “If a strike does occur, that means operations at the covered ports stop. Neither imports nor exports will move, vessels will start to back up outside the ports, containers will sit and industries from retail to manufacturing to agriculture will be impacted,” Jonathan Gold, vice president of supply chain and customs policy at the National Retail Federation warned in a blog post earlier this month. “For retailers, that means holiday shipments might not arrive on time. Manufacturers might not receive parts, materials and supplies needed for production, which will lead to assembly lines shutting down. And farmers won’t be able to get their products to overseas markets, which could lead to lost sales.”​