Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: Stock Farmer who wrote (23648)	9/30/2002 7:15:05 PM
From: TobagoJack	Read Replies (2) \| Respond to of 74559

Hi John, could this be the trigger? Trade down, USD recycling off, exchange rate go kaboom, interest rate go up, ... ? No one knows for sure, but we will find out. scmp.com Tuesday, October 1, 2002 US port feud chokes off HK cargo RUSSELL BARLING and PAUL RICHARDSON US west coast ports were shut down yesterday for the second time in three days as feuding employers and union workers from Seattle to San Diego stranded or delayed more than 100 vessels, many carrying Asian cargo. Employers, led by the Pacific Maritime Association (PMA), locked out union dock workers in a shutdown which threatens to strangle all maritime trade between Hong Kong and the United States. "It's too early to assess what the damage will be, but it could be catastrophic if it goes on long enough," said Sunny Ho Lap-kee, executive director of the Hong Kong Shippers Council. "We are hopeful of a quick resolution but the docks at Kwai Chung are already packed with the peak-season rush. Nobody knows what the US buyers want us to do right now. We are waiting for the US to decide." More than 4,300 containers on average move daily from Hong Kong to the US west coast ports. The PMA, which represents the shipping lines and port operators, says the lockout is in response to continued work slowdowns by the 10,500-strong International Longshore and Warehouse Union (ILWU). "The ILWU has made life difficult for everybody. This is the worst time for this to happen," said a local shipping line executive. "We anticipate our cargo is already facing a delay of from three to seven days," he said, while adding carriers were unlikely to start rejecting west-coast cargo for at least two weeks. The PMA yesterday did not request union labour for today, meaning employers intend to keep the ports locked down for at least another 24 hours. The lead negotiators are scheduled to meet today but the employers say they will not accept anything other than a new labour contract or an extension of the expired agreement, which would preclude labour action while talks were ongoing. The ILWU refused last month to continue the series of 24-hour extensions of members' labour contracts under which they had been working since July 1, making legal the work slowdowns which spurred the lockout. After several warnings, the PMA shut down the US west coast port complex at the end of the Friday day-shift, before reopening the ports on Sunday, only to face more labour action. The PMA estimates the ILWU's productivity, measured in container moves per hour, was down 54 per cent from normal levels, prompting the closure. The union has derided reports of slowdowns. "To divert attention from its rejection of the ILWU's reasonable technology proposal, the PMA announced it will shut down all west coast ports with false claims of union slowdowns," the union said. But PMA chief Joseph Miniace laid the blame at the union's feet. "The union has flat out refused to keep the peace. They have engaged in a widespread job action that has brought the west coast waterfront to its knees, and by extension, this union is causing harm to the national and international economy." US rail carriers have stopped accepting exports bound for the west coast to keep port-side congestion under control.