Enterprise
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With the remains of Baltimore’s Francis Scott Key Bridge in sight, Maryland Gov. Wes Moore made the rounds of CNN, MSNBC and Fox News to talk about the disaster.
Moore, a first-term Democrat, has advocated for a bipartisan response to the crisis. On March 26, a 984-foot container named Dali crashed into one of the bridge’s main pillars, which collapsed into the Patapsco River, killing six workers on the structure. .
“It’s not just going to have an effect on Maryland,” Moore said on CNN’s “State of the Union. “”It’s going to have an effect on farmers in Kentucky. Va to have an effect in Ohio. “car dealership. It’s going to have an effect on a Tennessee restaurant owner.
More than 350 miles away, in Cuyahoga Falls, Ohio, Pat Primm, the spouse of a Cascade Auto group, heard about the bridge collapse on local news radio. Thinking about the lives lost in the disaster, Primm also wondered what would affect his company.
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“Uh, oh. We get cars from there. What am I going to go through to tell my clients?Primm said he thought. It was like, ‘Here we go again. ‘”
But Primm said it temporarily learned that brands submitted through its dealership — Audi, Mazda and Subaru — would be affected.
Moore’s spokesman, Carter Elliott IV, said the governor did not refer to expressing other people but mentioned examples he had heard from other leaders.
Following the collapse of the bridge, some feared that the closure of the port would be like an earthquake that would trigger a tidal wave that would damage businesses across the country. Now, the port could reopen by the end of May. Companies preparing for a shockwave, or even an incident, don’t feel anything.
After a brief fight over truckers in Baltimore, the home chain has returned to its place. Business continues as usual at most East Coast ports. And the effects, if they occur, are yet to be felt in the Midwest.
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The 70,000 or so railroad cars that pass through the Port of Baltimore each month will have to get somewhere. Tradepoint Atlantic at Sparrows Point will take care of that shortage. The huge logistics platform is located beyond the site of the bridge collapse and is fully operational.
Most of the cars hijacked in Baltimore are unloaded at the Port of Brunswick, Georgia, the nation’s second-busiest port for loading and unloading transportation. Cars are driven on huge loading and unloading ships that need specialized docks to unload. .
Still, this port and a few others don’t seem much busier than they did before the collapse of the Key Bridge. This is due to the way shipping works on the East Coast, industry experts explained.
While it’s possible for a container shipment to arrive at the Port of Los Angeles, unload your entire shipment, and then return to Asia, East Coast shipments stop at various ports. So if a shipment arrives at the port of Baltimore, you will most likely make stops, loading and unloading your shipment at each location.
Although some ships have been diverted to completely different ports, most ports receive the same ships as before: they simply unload more of their shipment at each port of call. Due to the COVID-19 pandemic, the logistics industry is in a position to address it.
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Chris Todd, an advertising real estate agent with CBRE, said he hasn’t won any requests from other people for a transient warehouse area near the Port of Norfolk, Virginia. During the pandemic, the warehouse structure has exploded across the country, which means that this market in both other markets and others has room for other products.
Much of this shipment is picked up via Maryland truckers and returned to the Baltimore area.
Joe Harris, a spokesman for the Port of Virginia, said about 80 Maryland-based truckers or companies have requested assistance from the port since the bridge collapsed.
A brief spike in demand for flatbed trucks in Baltimore following the Key Bridge collapse subsided in a matter of days, said Dean Croke, a market analyst at DAT Freight.
In the Baltimore area, the average cost of renting a flatbed truck for a single direction hovered around $2 per mile, adding gas, Croke said. On the day of the collapse, there were increases of 60 cents, he said, but costs went down. until the end of the week.
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Although some trucking routes, such as the one from Baltimore to Chicago, still have elevated values, the average value of a flatbed truck has declined overall since the bridge collapsed, Croke said.
That’s because the trucking industry in Baltimore, like the rest of the country, has noticed an increase in the number of truckers due to the pandemic, Croke said. This surplus allowed the industry to temporarily respond to the collapse of the bridge. Many of those truckers are now helping to redirect imports to other parts of the country, adding to Ohio.
Primm, a partner at Cascade Auto Group, said he had received four to five phone calls from consumers who were waiting or waiting for a vehicle and wanted to know what the crisis meant to them. “Obviously, the American public, if I buy something, I need it for yesterday,” he said.
During a monthly sales stopover with Audi in the region, Primm said, the automaker addressed the crisis and said its operations were unfolding away from the site of the bridge collapse.
In a statement, Michael Lowder, a spokesman for Volkswagen, Audi’s parent company, said: “We do not anticipate any effect on vessel operations, but there could be delays in the dispatch of trucks as traffic in the area will be diverted. “
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Meanwhile, Primm said, Mazda issued a bulletin following the bridge collapse.
Primm said he understands that many models arrive at the port of Tacoma, Washington, where they are then loaded onto trains bound for Naperville, Illinois. From there, he says, truckers take them to the dealership.
“Mazda has been working intensively with the Port of Baltimore and other key entities for the long-term effects of the closure, but in the meantime, our operations team has known nearby ports for incoming vessels to minimize delays,” said Josh Sheppard. An operations manager. A Mazda spokesperson said in a statement.
Subaru has a plant in Lafayette, Indiana, where it makes models such as the Ascent, Crosstrek and Outback. Primm said his dealership receives a lot of products made there.
A Subaru spokesperson may be contacted for comment.
As for the Kentucky farmer Moore mentioned, Madison Pergrem, deputy director of communications for the Kentucky Department of Agriculture, said in an email that the company is “not aware of any explicit impacts. “
The American Farm Bureau Federation’s communications director, Mike Tomko, said in an email that “it could be tricky to give details. “
Economists analyzed the effect of the Port of Baltimore on the U. S. agricultural industry and concluded that it is “quite minor,” though sugar refineries and appliance brands appear to face faster challenges.
Sarah Beth Urban, President & CEO, Tennessee Hospitality
“It’s very conceivable that someone could get hit,” Urban said. “I just haven’t heard of it. “
Primm said he could talk about the fallout from the bridge collapse in other parts of the country.
Primm said, “This shows the wonderful complexity of the chain of origin in the United States. “
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