A strike by dock workers at the UK’s most important port threatens to wreak havoc on supply chains already reeling from pandemic disruption. “It’s probably going to be an expense that we end up paying in the same way that there were a lot of expenses of the ship that got stuck in the Suez Canal,” Gary Grant, founder of toy retailer The Entertainer, told Bloomberg. from a huge potential blow to the UK port of Felixstowe. About 2,000 workers at the port, the country’s largest container importer and exporter, are set to strike for eight days, raising fears the unrest could deal another major blow to an economy facing inflationary woes and a possible recession. LACK OF INSULIN MAY BE THE NEXT SUPPLY CHAIN CRISIS Management can be seen discussing the dispute with CEO Clemence Cheng (in an orange vest and black baseball cap) near the main gate of Felixstowe Port as an eight-day strike called by the UNITE union begins over pay on August 21. (Guy Smallman/Getty Images) The port handles about a third of the country’s total container volume and is the most important hub for the country’s trade with Asia, and had made progress toward reversing dwell time issues stemming from the pandemic over the past two years. But that progress will be threatened by the strike, with estimates suggesting it could take up to 24 days to clear the backlog created by the labor dispute. The Russell Group, a data and analytics firm, says the strike could delay $800 million in trade. The disruption could also ripple through the rest of the country’s economy, delaying imported shipments to UK retailers as they prepare for the busy holiday shopping season. The Russell Group, a data and analytics firm, says the strike could. Shipping companies are already planning to reroute around the port, but such moves add time and cost. There are also doubts that other ports in the country are equipped to handle a larger volume of trade. The port of Felixstowe walkout as an eight-day strike called by the UNITE union begins over pay on August 21, 2022 in Felixstowe, England. (Guy Smallman/Getty Images) CLICK HERE TO GET THE FOX NEWS APP “We will of course do everything we can to support the UK supply chain, although it must be understood that we are currently delivering record volumes and there is little spare capacity,” DP World, a company that owns the second largest port of the country in Southampton, he told Bloomberg last week. Workers appear poised to strike despite calls from outside groups to resolve the labor dispute, with the union most recently rejecting an 8% pay rise offer from the port. “The port regrets the impact this action will have on UK supply chains,” the company said, adding that the strike would result in “no winners”. Michael Lee is a writer at Fox News. Follow him on Twitter @UAMichaelLee
