ALERTS & ​ADVISORIES

East and Gulf Coast Strike is Over: ILA and USMX Reach Tentative Agreement Amidst Supply Chain Disruptions

By
October 4, 2024
East and Gulf Coast Strike is Over: ILA and USMX Reach Tentative Agreement Amidst Supply Chain Disruptions
East and Gulf Coast Strike is Over: ILA and USMX Reach Tentative Agreement Amidst Supply Chain Disruptions

In a pivotal development for global logistics, the International Longshoremen's Association (ILA) and the U.S. Maritime Alliance (USMX) jointly announced late on October 3 that they reached a tentative wage agreement. The Master Contract, governing work at East and Gulf Coast ports, has been extended until January 15, 2025, allowing further negotiations on unresolved issues. As a result, all job actions have ceased, and port operations will resume immediately under the Master Contract.

While this agreement averts a prolonged crisis that could have severely impacted global supply chains, the three-day strike has already caused significant operational disruptions. It is anticipated that full port recovery will take between 2-3 weeks, depending on how swiftly dockworkers manage the backlog of vessels waiting to unload billions of dollars worth of goods. However, it is important to note that not all terminals have reopened immediately. Some port gates will only reopen on October 7, and vessel operations have staggered reopening times, further complicating the situation.

Vessels Anchored and Congestion Worsening

Even though operations have restarted, many container ships remain anchored off the U.S. East and Gulf Coasts, and new vessels continue to arrive. Several ships have diverted to ports such as Freeport, Bahamas, to offload U.S.-bound cargo. This diversion risks creating bottlenecks at critical transshipment hubs, including Cartagena, Panama, Kingston, and Caucedo. Clearing the backlog at these ports may take time, potentially leading to delays across global supply chains.

Spike in Freight Rates Linked to Strikes

Recent data indicates that freight rates have surged, with shippers feeling the direct impact of the strikes. On the most affected routes, such as North Europe to the U.S. East Coast, average spot rates have increased by 58% since the end of August. This highlights the immediate financial strain on businesses that rely on stable shipping rates.

Force Majeure, Surcharges, and Carrier Adjustments

Before the agreement, most major carriers, including COSCO, ONE,  CMA CGM, and Evergreen, declared force majeure, which could result in additional charges for shippers in the coming weeks. Even though the strike has ended, it forced carriers to divert containers to alternative ports outside the U.S., creating further complications.

With the reopening of ports, shippers should stay vigilant regarding potential detention and demurrage fees, as the "stopping the clock" that applied during the strike no longer holds. Congestion over the next several weeks will only compound the situation.

Many carriers have also announced disruption surcharges, expected to come into effect by mid-October. However, it's worth noting that carriers often announce such fees but rarely communicate when they are rescinded. Shippers should not be surprised if these surcharges do not fully materialize. Businesses are advised to review shipping contracts, particularly force majeure clauses, to understand better how surcharges and additional costs may apply.

Global Disruptions Ripple Across Markets

While the strike has concluded, its after effects will likely be felt globally. A temporary reduction in export capacity from Europe is expected in about two weeks, which could apply upward pressure on freight rates. This pattern may also play out in other regions with a longer lag. The global logistics network will take time to normalize, and rates are expected to remain volatile.

Air Freight Surge as Shippers Seek Alternatives

With ocean freight options constrained, demand for air freight has skyrocketed, driving rates higher. Time-sensitive shipments are particularly affected, with shippers facing increased costs as air freight capacity tightens. Businesses relying on urgent deliveries should prepare for continued cost increases in the near future.

JAS Worldwide: Here to Support You

In these challenging times, JAS Worldwide remains dedicated to supporting your business. Our teams are actively monitoring the situation and delivering customized solutions to minimize disruptions. Whether you need air freight alternatives, rerouting options, or expert logistics advice, JAS Worldwide is ready to help you navigate these complexities. Reach out to your JAS representative today to develop a strategic plan that ensures your supply chain remains resilient and efficient.

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JAS’s Science-Based Climate Targets Validated by the SBTi

ATLANTA, August 20, 2025 – JAS is proud to announce that the Science Based Targets initiative (SBTi) has officially validated its near-term and net-zero greenhouse gas (GHG) emissions reduction targets. This validation confirms that JAS’s decarbonization strategy is aligned with the latest scientific guidance to limit global temperature rise to 1.5°C, the most ambitious pathway under the Paris Agreement.

The SBTi has classified JAS’s near-term scope 1 and 2 emissions targets as in line with a 1.5°C trajectory and confirmed that its long-term targets meet the SBTi Net-Zero Standard, which outlines science-based ways to achieve net-zero emissions by 2050 or earlier.

Approved Science-Based Targets

  • Near-Term Targets (by 2030):
    • Reduce absolute scope 1 and 2 GHG emissions by 42% from a 2023 base year
    • Achieve 100% renewable electricity sourcing
    • Ensure 80% of suppliers by emissions (covering upstream transportation and distribution) have science-based targets
  • Net-Zero Targets (by 2050):
    • Reduce absolute scope 1 and 2 GHG emissions by 90% from a 2023 base year
    • Reduce absolute scope 3 GHG emissions from upstream transportation and distribution by 90% from a 2021 base year

Strengthening Environmental Action Across the Network

As highlighted in the 2024 Sustainability Report, the company is taking action to reduce emissions across its global network. Initiatives include more efficient routing, network optimization, increased use of renewable energy and low-emission fuels, and strong supplier engagement to decarbonize freight operations.

JAS is also an active participant in global sustainability platforms, including the United Nations Global Compact (UNGC) and the Smart Freight Centre (SFC), which support knowledge-sharing and collaborative action across the logistics industry.

A Call for Collaboration

JAS recognizes that no single company can tackle the climate crisis alone. Achieving global climate goals will require rapid, deep emissions cuts across all sectors. JAS encourages customers, carriers, and supply chain partners to align with climate science by setting their own 1.5°C-aligned and net-zero targets.

“We are proud to have our climate targets validated by the SBTi, and even more proud of the work already underway across our global teams,” says Andrea Goeman, Senior Vice President QHSE & Sustainability, JAS. “We work closely with our customers to consult them on sustainable logistics solutions and support them in making more climate-conscious decisions. This milestone reflects our long-term commitment to sustainability, aligned with our company’s purpose of creating opportunities to thrive together.”

To learn more about our climate strategy and progress, read the full JAS Sustainability Report 2024.

JAS is pleased to announce two key leadership appointments—Manuele Mazzacurati as Interim Chief Commercial Officer and Angus Haig as General Counsel and Chief Compliance Officer.

Atlanta, GA – August 1, 2025 – JAS is pleased to announce two leadership updates that reflect the company's continued focus on global growth, innovation, and delivering value to its customers.

Manuele Mazzacurati, currently serving as Executive Vice President of Global Sales & Marketing, has been appointed Interim Chief Commercial Officer following David Bang’s departure to pursue another opportunity outside the organization. With nearly 18 years at JAS, Mazzacurati brings a wealth of experience spanning operations, regional leadership, and global commercial strategy.

With a strong customer focus and a proven track record of success in diverse markets, he is well-positioned to lead the commercial organization through this transition. In this expanded role, Mazzacurati will continue to steer global sales efforts while ensuring continuity and alignment across JAS’s commercial priorities.

Angus Haig has also joined JAS as General Counsel and Chief Compliance Officer. With more than 30 years of international legal and corporate experience, Haig brings strong expertise in global business law, compliance, and strategic counsel. He previously served as SVP & General Counsel at Cox Automotive and held senior legal roles during a 19-year tenure at The Coca-Cola Company.

Leveraging his collaborative approach and international experience, Haig will oversee legal and compliance matters across JAS’s operations, helping JAS stay aligned with its values while navigating an increasingly complex business environment.

“These appointments reflect the strength and depth of talent across our global team,” said Marco Rebuffi, President & CEO of JAS. “We thank David for his leadership in strengthening JAS's global presence and laying the foundation for sustainable growth. We are confident that Manuele and Angus will play pivotal roles in driving JAS forward as we continue to stay focused on what matters most—our customers, our people, and our shared future."

With these appointments, JAS continues to strengthen its global leadership team and remains committed to developing innovative, sustainable logistics solutions that meet today's needs while preparing for tomorrow's challenges.

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About JAS

JAS, a global leader in logistics and supply chain solutions, was founded in Milan, Italy, in 1978. Headquartered in Atlanta, Georgia, USA, and supported by 7,000+ team members in more than 100 countries, it builds innovative and sustainable solutions that focus on customer needs and a better future for all. At the heart of JAS's success is its people, who deliver customer value. As one of the largest and fastest-growing privately-owned logistics companies, JAS is committed to creating opportunities for our communities, customers, and colleagues to thrive. Together.

Marco Rebuffi, CEO and President of JAS (left), and Ashley Taylor, Group CEO of Pentagon (right).

ATLANTA, July 27, 2025 – JAS, a global leader in logistics and supply chain solutions, and Pentagon Freight Services ("Pentagon"), a highly specialized integrated Freight Forwarding, Project Logistics and Ships Agency provider headquartered in the UK, are pleased to announce the signing of a Share Purchase Agreement (SPA). This agreement represents a key step toward JAS's planned acquisition of Pentagon, which is expected to close in the second half of 2025, subject to regulatory approval.

"The Pentagon acquisition perfectly complements JAS's strategic goals, significantly increasing our ability to offer highly specialized logistics solutions for the oil and gas, marine, construction, and energy industries. We are looking forward to finalizing this acquisition to welcome Pentagon team members into the JAS family," said Marco Rebuffi, CEO and President of JAS.

"We are confident that JAS is the right company to expand our global network and achieve our growth ambitions. Our goal is to leverage our experience and continue to offer dedicated logistics solutions to our industry-leading clients. We look forward to growing stronger together with JAS," said Ashley Taylor, Group CEO of Pentagon.

Pentagon, headquartered in the UK, is a trusted provider of specialized freight forwarding, project logistics, and critical supply chain solutions for the oil and gas, energy, marine, and construction industries. With over 1200+ employees in 65 offices around the world, Pentagon's deep expertise and global reach will further enhance JAS's ability to deliver tailored, industry-specific solutions. This acquisition will strengthen JAS's position in these critical sectors, ensuring seamless and high-quality service that keeps complex customer operations moving across the globe.

Together, JAS and Pentagon will unlock new opportunities and deliver even greater value to customers by combining an expanded global network with a comprehensive portfolio of leading logistics solutions.

About JAS

JAS, a global leader in logistics and supply chain solutions, was founded in Milan, Italy, in 1978. Headquartered in Atlanta, Georgia, and supported by 7,000+ team members in more than 100 countries, JAS focuses on creating solutions that are innovative, sustainable, and tailored to customer needs. As a privately owned company, JAS is committed to creating opportunities for communities, customers, and colleagues to thrive.

About Pentagon

Pentagon is a highly specialized global Freight Forwarding, Project Logistics and Ships Agency provider with a worldwide network of over 1200 employees and 65 offices. Headquartered in the UK, Pentagon has more than 50 years’ experience in serving the oil and gas and energy sectors. Pentagon focuses on delivering globally integrated supply chain solutions with local expertise, individually tailored to customers’ operations and requirements.

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