Chamber of Shipping warns that CN Rail disruption will have long-term consequences

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Chamber of Shipping warns that CN Rail disruption will have long-term consequences

November 22, 2019 - 15:59
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VANCOUVER, BC, Nov. 22, 2019 (CNW) -While it is encouraging that the parties continue to negotiate, the impacts of the current CN Rail disruption and the probability that it will extend into a second week is untenable. The Chamber of Shipping calls on the Government of Canada to acknowledge this exceptional situation and act accordingly to resolve this situation promptly.

"Canadian businesses rely on a predictable, efficient and productive supply chain to move products globally. This action is  harming the reputation of Canadian ports and the Canadian supply chain," stated the Chamber's President, Robert Lewis-Manning. "Even a resumption of service at this stage will take weeks to resolve and impacts the markets that Canadian shippers serve."

Vancouver and Prince Rupert are strategic ports for the Pacific Gateway and among Canada's busiest ports serving major Canadian industries including manufacturing, mining, energy, forestry, agriculture, and construction. This rail service disruption will add stressors to the operating environment surrounding the ports, as delays caused to cargo shipments and ships will force vessels to anchor in local waters.  Prince Rupert is the fastest growing port on the West Coast and highly dependent on CN Rail services.  A lengthy disruption will potentially divert ships and cargo to US ports permanently and threaten newly created jobs in the region.

While a negotiated solution would be desirable, the potential for a prolonged shut down of CN rail service warrants that the Government of Canada consider options to end this situation impacting the Canadian economy.

About Chamber of Shipping
TheChamber of Shippingrepresents commercial carriers and their agents in Canada which trade internationally and domestically. Commercial shipping results in $30 billion of economic activity annually in Canada and moves more than $200 billion worth of goods to and from global markets. The marine transportation sector is vital to supporting Canadian trade, and Canada's continued prosperity and high standard of living depends on our ability to deliver resources, goods, and people in a responsible and competitive manner.