April 2024

Last month, on Tuesday, March 26th, a cargo ship leaving the Port of Baltimore struck the Francis Scott Key Bridge, causing it to collapse. This incident took place in the middle of the night, drastically reducing casualties, but unfortunately, six road crew workers lost their lives in this accident. The collapse of this key bridge will have significant effects on the logistics industry and will likely cause delays in importing and exporting throughout multiple ports as trade is diverted to new routes, causing congestion at other major ports.

Statements from the Port of Baltimore on the morning of the incident said, ‘The Port of Baltimore is suspended for vessel traffic until further notice; however, trucks may still be processed.’ The Maryland Governor has issued statements saying that the bridge was up to code and that this incident had nothing to do with its structural integrity. He also states that repairing the bridge will be a long-term project, which the Biden Administration has agreed to financially support.

All of this, of course, will mean major changes in business. Last year alone, the Baltimore terminals handled 1.1 million TEU, about 21,000 a week. This also means that cargo that is already in the ports will have to wait until the suspension of vessel traffic is over or find alternate means of transportation. Any vessels already inside of the port are stuck there as well. Until this crisis has been resolved, alternative plans will have to be made for ships planning to arrive in Baltimore, and a ripple effect will occur, although it is too soon to say to what extent it will directly affect the operations of the supply chain.