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The U.S. Supply Chain Makes No Sense


Muda69

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15 minutes ago, DanteEstonia said:

It takes a federal background check to enter the ports, most ports don't allow passengers, and breaking into one of the ports is 6 months in prison. 

Hmm. I used to work at facility designated as a free/foreign trade zone, and never had a federal background check.  Must be a different level of security.

17 minutes ago, DanteEstonia said:

That's clearly what we are doing now, and it's not working. 

As if forced government compliance will work, especially where labor unions are concerned.

 

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Majority of west coast ports are in one state, including the two largest in LA and Long Beach. Ports on the east coast are in multiple states. Not hard to understand why we always hear about how terrible the ports are on the west coast. There’s competition on the east coast and there’s not on the west coast. 
I’m sure that and the fact that the vast majority of Asian imports come thur west coast ports purely from logistics standpoint. 

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4 hours ago, Muda69 said:

Must be a different level of security.

It is, Marsec Level 1. TWIC required. As a bonus, I can now skip TSA at airports. 

4 hours ago, Muda69 said:

As if forced government compliance will work, especially where labor unions are concerned.

It worked for LBCT. 

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4 hours ago, Impartial_Observer said:

Ports on the east coast are in multiple states.

All of the ports in the USA are unionized, with the East Coast under the ILA and the West Coast under the ILWU. Long Beach and Los Angeles get 40% of the traffic because they are physically large enough to handle the post-Panamax ships. Post-Panamax means too large to go through the Panama Canal. 

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2 minutes ago, Impartial_Observer said:

It makes perfect sense really…..I mean when you thing about it. 

Teaching kids is like driving a truck: 95% of the job is not hitting things, and if you can do that you'll have a job tomorrow.

Driving a truck is like teaching kids: 95% of the job is not hitting things, and if you can do that you'll have a job tomorrow.

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  • 2 weeks later...

SF is Neither a teacher nor a trucker like you DE....Parts shortages still remain a huge issue in my industry..... SF is just relying on our current Transportation Secretary (who BTW was in the news this morning talking gay marriage - not transportation issues) to keep it on the rails and waiting/hoping for the logjam to correct itself sooner than later.....Nothing further to contribute.....

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Oh - IDK Maybe this ......

https://www.morningbrew.com/daily/stories/california-truckers-shut-down-california-port-in-protest-of-gig-worker-law

The truckers are planning to keep cutting off access to the third-busiest port on the West Coast until Democratic Governor Gavin Newsom agrees to sit down and hear their qualms with AB5, the controversial gig worker bill that’s expected to go into effect later this year.

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26 minutes ago, swordfish said:

Oh - IDK Maybe this ......

https://www.morningbrew.com/daily/stories/california-truckers-shut-down-california-port-in-protest-of-gig-worker-law

The truckers are planning to keep cutting off access to the third-busiest port on the West Coast until Democratic Governor Gavin Newsom agrees to sit down and hear their qualms with AB5, the controversial gig worker bill that’s expected to go into effect later this year.

The Law of Unintended Consequences rears it's ugly head again.

 

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On 7/25/2022 at 6:40 AM, swordfish said:

Nothing further to contribute.....

Okay, so take it from someone with lived experience and something to contribute: our supply chain problems are caused by the terminal companies and the steamship lines. 

On 7/25/2022 at 7:42 AM, swordfish said:

Oh - IDK Maybe this ......

https://www.morningbrew.com/daily/stories/california-truckers-shut-down-california-port-in-protest-of-gig-worker-law

The truckers are planning to keep cutting off access to the third-busiest port on the West Coast until Democratic Governor Gavin Newsom agrees to sit down and hear their qualms with AB5, the controversial gig worker bill that’s expected to go into effect later this year.

Paid protestors. 

Better part of the article: 

Quote

The International Brotherhood of Teamsters, which is hoping to unionize truck drivers in California, say trucking companies have misclassified drivers for years, and this law would increase wages and benefits.

 

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20 hours ago, DanteEstonia said:

Okay, so take it from someone with lived experience and something to contribute: our supply chain problems are caused by the terminal companies and the steamship lines. 

 

https://www.cato.org/publications/policy-analysis/jones-act-burden-america-can-no-longer-bear#

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For nearly 100 years, a federal law known as the Jones Act has restricted water transportation of cargo between U.S. ports to ships that are U.S.-owned, U.S.-crewed, U.S.-registered, and U.S.-built. Justified on national security grounds as a means to bolster the U.S. maritime industry, the unsurprising result of this law has been to impose significant costs on the U.S. economy while providing few of the promised benefits.

An important and eye-opening read.  

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4 hours ago, Muda69 said:

An ignorant read. 

What use would it be to transport goods between US ports on boats? The biggest ocean-going vessels can't go through the Panama Canal.

This is what plies the ocean today-

https://www.cbc.ca/news/business/benjamin-franklin-giant-ship-1.3382129

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Recently delivered to the French shipping line CMA-CGM, the ship is nearly 400 metres long and 53 metres wide and has the capacity of nearly 18,000 containers. 

It can't go anywhere other than San Pedro!

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8 hours ago, DanteEstonia said:

An ignorant read. 

 

No, it's not.  It is a perfect example of what today we call "crony capitalism".  Apparently a practice you applaud because it means more government regulation and interference in the market.

 

8 hours ago, DanteEstonia said:

The free market finds a way, as long as government regulation and interference doesn't foul it up.  

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8 hours ago, DanteEstonia said:

We have railroads to move goods cheaply in the USA. 

Agreed.  A busy railroad line run right through the middle of Frankfort, which a railyard on the west side of town.  The city is frequently cut in half, north to south, by stopped trains, up to as long as 30 minutes.    People around here bitch and complain about it but such is the cost of free enterprise.

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55 minutes ago, Muda69 said:

Agreed.  A busy railroad line run right through the middle of Frankfort, which a railyard on the west side of town.  The city is frequently cut in half, north to south, by stopped trains, up to as long as 30 minutes.    People around here bitch and complain about it but such is the cost of free enterprise.

Seymour and Columbus have both built overpasses. 

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11 minutes ago, Impartial_Observer said:

Seymour and Columbus have both built overpasses. 

There has been talk of an overpass or underpass on 1-2 major streets in town, but nothing ever comes of it.  I think primarily because of the expense.  In the meantime the Fire Department has to maintain and staff two small fire stations on the north side of the tracks (the main fire dept. headquarters is south of tracks) in case they get a call while a train is basically splitting the town in half.

 

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1 minute ago, Muda69 said:

There has been talk of an overpass or underpass on 1-2 major streets in town, but nothing ever comes of it.  I think primarily because of the expense.  In the meantime the Fire Department has to maintain and staff two small fire stations on the north side of the tracks (the main fire dept. headquarters is south of tracks) in case they get a call while a train is basically splitting the town in half.

 

We have had the same issue for years. Keep in mind Seymour is split into quarters, so yea, I feel your pain. The Louisville Indiana line upgraded their rail in southern Indiana, so at least the trains are fast now. 

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1 hour ago, Muda69 said:

The free market finds a way, as long as government regulation and interference doesn't foul it up.

Physics permits it. 

FIFY

1 hour ago, Muda69 said:

No, it's not. 

Yes, it is. There is one civilian shipbuilder in the USA. What nation abandons their own industries?

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1 hour ago, Muda69 said:

Apparently a practice you applaud because it means more government regulation and interference in the market.

tHe mArKeT isn't going to change the fact that those boats can't get through the Panama Canal and reach the Eastern Seaboard. Getting rid of the Jones Act will not do anything at all for shipping costs. 

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1 hour ago, DanteEstonia said:

Physics permits it. 

FIFY

Yes, it is. There is one civilian shipbuilder in the USA. What nation abandons their own industries?

Because U.S. shipbuilders couldn't be competitive with their foreign counterparts, and instead of trying to be competitive through effective cost cutting and changing manufacturing methods they instead leaned on government subsidies to stay afloat.  And when Mr. Reagan ended those subsidies, as he rightly should have, they quickly faded away.

https://www.forbes.com/sites/lorenthompson/2021/07/23/us-shipbuilding-is-at-its-lowest-ebb-ever-how-did-america-fall-so-far/?sh=3a2f65756c87

Quote

For instance, the domestic shipbuilding industry went from being a major producer of commercial oceangoing vessels to building barely any at all in a mere 10 years, thanks to a move by the Reagan administration to wipe out construction subsidies without seeking reciprocal action from other nations.

That move was never revisited, even though the shipbuilding industry lost 40,000 workers during the Reagan years.

 

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