Today, March 26th, 2024, a bridge in the US city of Baltimore has snapped and collapsed after a ship collided with one of its support columns, resulting in a disruption to the east coast supply chain and triggering a government investigation.

As a precautionary measure, the vessel involved in the incident, along with all its cargo, is expected to be detained indefinitely. Furthermore, access to the Port of Baltimore has been blocked to allow rescue teams to search for survivors and for authorities to conduct their investigations and clear any debris. Consequently, all vessels that were intended to dock at the Port of Baltimore are being redirected to other ports.

The incident in Baltimore could have significant impacts on the container supply chain. Baltimore’s port handles approximately 1.1 million twenty-foot equivalent units (teu) per year, which translates to about 21,000 teu per week that will now need to find alternative gateways.

According to Emily Stausbøll, a market analyst at Xeneta, other larger ports on the US east coast, such as New York/New Jersey and Virginia, are likely able to handle additional container imports if Baltimore becomes inaccessible. This capacity could help limit any immediate impact on ocean freight shipping rates. However, she also notes that there is a limit to the available port capacity. Any further pressure, such as increased demand or additional disruptions, could leave supply chains vulnerable to further challenges.

Click here for more information on the incident from a supply chain perspective.

This is an ongoing investigation, and A. N. Deringer, Inc. is currently reviewing individual shipments and closely monitoring the situation. If you have specific questions, please reach out to your A. N. Deringer, Inc. representative for further information regarding your shipments.