Blockade of the port of Baltimore will have a high impact on the US economy

The blockade of the port of Baltimore (United States) caused by the collapse this Tuesday of the Francis Scott Key bridge due to the impact of a container ship will have serious economic consequences.

Baltimore is one of the main ports of the United States in the Atlantic with a transit of US$ 80,000 million of merchandise from abroad in 2023, it is the fastest route to the Midwest of the country and also the most important for transportation Of automobiles.

In a statement, the port authority announced that “Vessel traffic to or from the Port of Baltimore has been suspended until further notice”, although he added that his facilities continue processing trucks at the terminals.

“At this time we do not know how long ship traffic will be suspended.”the statement added.

The suspension of traffic since the freighter Deli collided with one of the pillars of the Francis Scott Key Bridge early on Tuesday, causing the collapse of several sections of the infrastructure, is already causing logistical problems in much of the country.

At the moment, dozens of vessels heading to Baltimore have had to anchor in Chesapake Bay or redirect to other ports.

Maritime traffic data show accumulations of vessels in nearby ports such as Annapolis, where at least 12 vessels appeared anchored nearby.

Local media indicated that cruise companies such as Norwegian Cruise Line have already begun to look for alternatives for their ships. For example, Carnival Cruise Line was scheduled to arrive in Baltimore on Sunday.

But the alternatives in some cases are limited.

The port, the sixteenth busiest in the United States, is only one of three on the American East Coast where the world’s largest freighters can dock and has five public and 12 private terminals, dedicated to transportation, among other products, coal, containers, steel, pulp and automobiles.

In 2023, a record 52.3 million tons of cargo from abroad with a value of $80 billion passed through the port of Baltimore, 7.6% more than in 2022.

Through its docks, companies such as Volkswagen, General Motors (GM), Stellantis, Toyota, Nissan and Volvo, as well as luxury manufacturers such as Lamborghini, export and import their vehicles.

In addition, 847,158 vehicles were transported from its facilities in 2023, which made it the most important year in the country for this type of product for the thirteenth consecutive year.

John Bozzella, president of the Alliance for Automotive Innovation (which brings together the main automobile manufacturers), said in a statement that although it is too early to know the impact the accident will have, “It will surely cause problems.”.

“Baltimore is the largest auto port in the United States and we are in contact with federal officials to help them understand the size of the auto operations there”Bozzella added.

Stellantis, one of the automobile manufacturers that use the port, said in a statement that they are beginning to develop contingency plans to ensure the transportation of their vehicles.

Other manufacturers such as GM and Toyota expressed themselves in similar terms, although they added that they expect the impact to be minimal.

1.1 million TEU (twenty-foot equivalent unit) containers also passed through Baltimore last year, surpassing the record of 1 million established in 2019, before the pandemic.

And due to its location as the main access route to the Midwest of the country, the port is also the most important for the transport of heavy machinery for agricultural and construction operations in the United States.

On the other hand, the port employs 15,300 people but almost another 140,000 depend on its activity, which is why the president of the local longshoremen’s union, Scott Cowan, declared to The Baltimore Sun newspaper that the suspension of maritime traffic will be “catastrophic”.

Additionally, the collapsed bridge was part of Interstate 695, a key corridor for freight and passenger transportation.

Maryland state officials have warned that trucks carrying hazardous materials cannot use major alternate routes and must detour west of Baltimore.