White House Announces New Steps To Tackle U.S. Supply Chain Crisis

The Biden administration today announced a series of new steps that will be taken by companies and organizations in the private and public sectors to help address the continuing supply chain crisis in the U.S.

The White House said the actions are designed “to move more goods faster, and strengthen the resiliency of our supply chains, by moving towards 24/7 operations at the Ports of Los Angeles and Long Beach.” The two ports are the point of entry for 40% of containers to the U.S. and are on track to reach new highs in container traffic this year, according to a White House fact sheet.

New Commitments

In televised remarks from the White House, Biden said, “I want to be clear: This is across-the-board commitment to going to 24/7. This is a big first step in speeding up the movement of materials and goods through our supply chain. But now we need the rest of the private sector chain to step up as well.

“Strengthening our supply chains will continue to be my team’s focus. If federal support is needed, I will direct all appropriate action. And if the private sector doesn’t step up, we’re going to call them out and ask them to act. Because our goal is not only to get through this immediate bottleneck, but to address the longstanding weaknesses in our transportation supply chain that this pandemic has exposed.”

The White House said the following commitments will speed up shipments of goods throughout the country.

In the article, Ron Leibman contributes to the conversation…

Tangible First Step

Ron Leibman is the head of McCarter & English’s transportation, logistics and supply chain management practice. He said the public/private partnership that was able to secure 24/7 port services and offer extended shipper workdays in the Port of Los Angeles/Long Beach “is a tangible first step towards easing port congestion.”

‘Not A Complete Solution’

“Of course, this is not a complete solution…it does not address congestion in other ports throughout the country. It also does not, and, to be fair, will need time to, address the systemic volumetric and infrastructure issues underlying the current crisis, some of which start overseas or with non-U.S. flag vessel operators.

“It does though send a message that the Administration is listening to the industry and understands the problems, and that help may well be on the way in a more permanent fashion,” Leibman said.

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