Saturday, October 23, 2021

Government, private sector cooperation is necessary to remove supply bottlenecks, experts said

David Lynch, The Washington Post:

Well, I think it is a step in the right direction. On the margins, it can improve a very difficult situation.

But it’s not entirely accurate to say that the Port of Long Beach is already gone 24/7. In fact, they have six container terminals at that port. Only one in six have extended their hours in the pilot program. And during that time, that terminal is open 24 hours a day, Monday through Thursday. So it’s not quite 24/7. This leaves the other five terminals completely excluded.

At the Port of Los Angeles, the new initiative announced today, it is not yet clear how many of their terminals will go 24/7 and just what the operational details will be. So, we are still waiting to hear on that.

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I think the problem for the administration is that it’s really a challenge that isn’t immediately amenable to federal authority. The entire supply chain is made up of private sector companies, all independent, all operating in a sometimes very quiet way.

And so the administration – and I think they’ve accepted it – recognizes that they can play a role of sorts to bring people together and get them to collaborate and share data, but it’s not going to cut taxes. Or it’s not as easy as increasing the cost. This is in many ways beyond the immediate power of the government.

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