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Sparx Logistics

08/22/2014

Update: Ningbo Strike Ends, Leaving Large Backlog

According to multiple local sources, the trucker strike that clogged traffic in and out of terminals at the port of Ningbo, China "is basically over." The trucking companies and owner-operators involved have gradually resumed work since August 22 at 15:00PM local time, with hopes that full operations would resume over the weekend.

 

However, delays caused by the labor action will reportedly take some time to overcome. In general, bookings from the past week have been delayed until next week, and outside of the depots, trucks are being queued for long periods of time to make pickups and deliveries. In addition, next week, carriers operating in Ningbo are expected to face "severe space issues."

 

The work stoppage began late on August 18, when owner-operators began protesting their pay rate, unaware that the Ningbo Transportation Association had already agreed to a 12% wage increase, scheduled to be announced on August 22. According to the Journal of Commerce, the grievances of drivers in Ningbo are similar to those who blockaded Shanghai’s ports in April 2011, demanding an increase in their flat-fee haulage payment to offset rising fuel costs. The Shanghai protest was eventually broken up by police, with drivers returning to work and the local government announcing some minor concessions.

 

SPARX logistics will conitnue to monitor this situation and keep our customers apprised of the latest developments.  If you have questions or concerns related to specific shipments, please contact your SPARX representative.

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