Canadian business: Re-open of Port of Montreal immediately

Friday, 23 July 2010 02:14:18 (GMT+3)   |  
       

A coalition of associations representing thousands of Canadian businesses and their millions of employees are calling on the federal government to immediately intervene in the labor conflict at the Port of Montreal to end the dispute so that normal business operations resume immediately.

"The sudden and unexpected closure of the Port of Montreal last Monday is having a wide and negative impact on business across North America," says Jayson Myers, President & CEO of Canadian Manufacturers & Exporters. "This work stoppage threatens to derail the fragile North American economic recovery by shutting down manufacturing plants in both Canada and the United States within days."

Maritime shipping is a critical link in Canadian businesses' global supply chains and as Canada's second largest port by volume, the Port of Montreal is a key gateway for both imports and exports of goods traded between North America and the world. Redirecting shipments to other ports is simply not practical as it disrupts supply chains, delays shipments and leads to added costs, penalties for missed delivery schedules and loss of future business to competitors. Moreover, it does not help with essential shipments currently being held in Montreal.

According to the Hon. Perrin Beatty, President & CEO of the Canadian Chamber of Commerce, "The disruption at the Port of Montreal has serious implications for businesses large and small across Canada. We urge both parties to work together to resume services immediately." 

The coalition believes that ensuring that the port is open to traffic is critical to preserving Canada's reputation as a reliable North American gateway. Past labor disputes at other North American ports have demonstrated that even the perception that a port is unreliable due to labor problems can have a long lasting negative impact. 

"The impact will not only be felt at Canadian facilities, but auto manufacturing plants will be closed across Canada and the United States as a result of the port closure. This will cause a significant ripple effect throughout the integrated automotive supply chain right across North America, with significant negative economic consequences," states Mark Nantais, President of Canadian Vehicle Manufacturers' Association. 

Included in the coalition of association endorsing this statement are industrial manufacturers, steelmakers, transportation providers, tooling and machining associations, and automotive parts manufacturers associations, among others.