ILWU Canada plans to strike at West Coast ports starting on July 1, following a landslide vote of union members. The notice was served on Wednesday, complying with the three-day notice required by the Canadian Labor Code.
Over 99% of ILWU Canada union workers voted in favor of a strike if a labor deal was not reached during the 21-day cooling-off period. The discussions, mediated by two Canadian government-appointed mediators, ended in May.
Impact on U.S. Economy and Trade
The Port of Vancouver, handling 90% of Canadian trade, will be significantly affected by the strike. Approximately 15% of container trade through the port involves U.S. destinations, while 2% of U.S. international imports passing through West Coast ports utilize the Port of Vancouver.
Additionally, two-thirds of containerized imports entering the Port of Prince Rupert are destined for the U.S. market.
Operational Impact and Railways
The strike will impact West Coast ports served by CN, Canadian Pacific, and BNSF railways. While CN and BNSF have not commented yet, CPKC expects potential disruptions but anticipates no significant service interruptions. BCMEA is open to re-engaging in negotiations through the federal mediation process but has been declined by ILWU Canada.
Cruise vessel servicing during the summer season remains uncertain, as it is unclear if the ILWU will provide service to that segment. Another round of discussions is scheduled for Thursday.
