The strike at US ports is bad news for everyone from farmers to genetically modified organisms

After months of negotiations ended without a deal, About 45,000 dock workers went on strike on Tuesday morningpromising to fight “as long as necessary” to get what they demanded.

That will likely have major consequences for the broader US economy; virtually every industry depends on major ports on the East Coast and Gulf Coast to deliver shipments of equipment, food and supplies every day. Ports and facilities handling about 51% of the country’s total port capacity are affected by the strikes, the Miter Corporation,

As the International Longshoremen Association (ILA) neared a strike against the companies, port authorities and terminal operators represented by the United States Maritime Alliance (USMX), freight lines began warning customers to adjust their plans ahead of the strikes. While some were likely successful, many companies are expected to feel the pain in the coming days.

“These people today don’t know what a strike is,” ILA President Harold Dagget said in a speech video last month he warned that his union could “cripple” the US economy. “Everything in the United States goes on a ship.”

As Dagget noted, the impact of the strike is likely to be far-reaching and likely to cause a ripple effect across industries that rely on materials like steel and lumber. Nearly 180 trade associations representing companies from a range of industries – including automakers, retailers, toy manufacturers and even companies that sell Halloween costumes – have warned that the strike will be “devastating.”

Non-perishable goods are expected to languish at the ports until action is taken. Tire companies such as Goodyear and Michelin are heavily dependent on the affected locations, as are automakers such as General Motors and Hyundai Motor Co. Bob’s Furniture, Home Depot and Ikea are also top importers on the East Coast and Gulf Coast ports. CNBC reports this.

The agricultural sector is also expected to be one of the sectors most affected by the strikes.

Grocers and restaurants are likely to experience difficulty obtaining fresh fruits and vegetables, especially from areas in Central and South America, the longer the strike continues. Seventy-five percent of U.S. bananas, or more than 3.8 million tons, arrive at ports where the ILA operates each year, according to the US Bureau of Agriculture (AFB).

That’s in addition to nearly 90% of imported cherries, 85% of canned foods, 82% of hot peppers and 80% of chocolate. A majority of beer, wine, whisky, whiskey and rum imports also arrive in containers at the ILA’s ports, along with more than 100 other food categories.

The strikes will also affect the companies that ship products out of the country. About 30% of U.S. waterborne agricultural exports, which account for three-quarters of total U.S. agricultural exports by volume, are expected to be disrupted, the report said. FIG.

“(N)early 80 percent of aquatic poultry exports leave East Coast ports, 56 percent of raw cotton, 36 percent of red meat, 30 percent of dairy products and even six percent of soybeans all pass through these ports via container export. ,” said Daniel Munch, economist at the AFB, last week.

But at this point it is difficult to say exactly how much damage the strikes will do to the broader global economy, or even to the US alone. Estimates range from as little as $540 million per day The Conference Boardup to and including $5 billion per daysaid JPMorgan. As many as 100,000 jobs are expected to be affected, Oxford Economics said last month.

“It would be unconscionable to allow a contract dispute to deliver such a shock to our economy,” Suzanne Clark, president of the U.S. Chamber of Commerce, said in a speech. letter to President Joe Biden on Monday. “(The ports) are also critical to many small businesses, including trucking, restaurants and other businesses that rely on these ports for their livelihoods.”