US scrap exports hit hard by slowdown at ports

United States – The dispute-led slowdown at US West Coast ports has badly affected scrap exporting businesses throughout the country, according to Doug Kramer, owner of Kramer Metals Inc. and chair of the US Institute of Scrap Recycling Industries (ISRI).

Speaking in Mumbai last week at the second international conference of the Metal Recycling Association of India, Kramer stressed the ′huge impact′ of this port disruption on the US economy in general and the scrap recycling industry in particular. On the sidelines of the Mumbai event, Kramer told Recycling International that his own California-based business had suffered a dramatic fall in exports over recent weeks, almost forcing him to close down operations. ′We have been in a situation that containers simply could not be shipped out of the country,′ he said.

In a recent member alert, ISRI underlined the ′significant′ impact of the work slowdown and port congestion on the scrap recycling industry. In 2013, scrap exports directly and indirectly supported 35 000 jobs on the US West Coast, including more than 26 700 jobs in California, 3100 jobs in Oregon and 4900 jobs in Washington state. Scrap exports from California alone were worth US$ 7.9 billion in that year and the value for the West Coast ports as a whole was US$ 9.4 billion. ′That is more than US$ 25.8 million of scrap exports at risk per day,′ it pointed out.

Some improvement in the situation was reported on Monday as West Coast ports resumed operations after shipping companies had suspended the loading and unloading of freighters, citing chronic cargo backups. In the dispute over pay and conditions, shippers and dock-workers have blamed each other during months of labour tension.

For more information, visit: www.isri.org