Gregory D. DeYong, an associate professor of operations management at Southern Illinois University Carbondale, is sounding the alarm about the significant impact that potential strikes at Canada’s rail systems and the Port of Vancouver could have on North American supply chains. As contract negotiations between the Canadian Teamsters union and major rail companies reach a critical point, a strike could begin as early as August 12 if the Canadian government lifts the current “no strike” condition.
DeYong highlights the extensive interconnection between U.S. and Canadian rail systems, particularly through the Canadian Pacific Kansas City Limited, which operates across Canada, the U.S., and Mexico. He explains that a rail strike in Canada would not occur in isolation but would instead cause a ripple effect throughout the continent.
“The Canadian railways are vital links in supply chains for a range of essential goods, including agricultural products, automobiles, and petroleum,” DeYong said. “While U.S. and Canadian truck carriers might absorb some of the freight, this will inevitably lead to tighter shipping capacities, delays, and increased costs.”
The potential strike also threatens the flow of imported goods and could exacerbate existing supply chain challenges in various industries. With the Canadian government close to removing the “no strike” condition, the logistics industry is bracing for significant disruptions that could affect businesses and consumers across North America.
