Update on ILA-USMX Tentative Agreement

We want to provide you with an update regarding the ongoing negotiations between the International Longshoremen Association (ILA) and the United States Maritime Alliance, Ltd. (USMX). As of today, the situation remains unchanged, and we continue to monitor developments closely.

The conditional agreement on wages is set to expire on January 15. If no agreement is reached by that date, a coast-wide strike on January 16 is possible. However, the negotiations have had no new developments since our last communication.

Considering the status, we strongly encourage our customers to pick up their laden containers and return empty containers at U.S. East and Gulf Coast ports before January 15. This proactive measure will help mitigate any potential disruptions at the terminals.

Our teams are actively developing contingency plans to minimize the impact should a labor disruption occur. We are committed to keeping you informed and will share any updates or new developments as they arise.

Thank you for your continued partnership and collaboration as we work through this situation together.

We continue to keep you informed about the ongoing negotiations between the International Longshoreman Association (ILA) and the United States Maritime Alliance, Ltd. (USMX), which may impact your operations.

On October 3, a conditional agreement on wages was agreed allowing for an extension, but discussions on technology-related issues stalled negotiations when both parties met in November. The contract was extended until January 15th, so unless a new agreement is reached by that time, it is possible that the ILA will again begin a coast-wide strike on January 16th. The situation remains dynamic as we await further developments but the possibility of a strike increases each day that passes without a settled contract.

Should there be any developments during the holidays we will share an update with you via email and Maersk.com. We advise our customers to continue booking through your normal booking channels including Maersk.com and Maersk Spot. Note: Maersk booking acceptance is contingent upon space and equipment availability, as always.

Maersk Operations & Contingency Preparation

Our teams continue to develop contingency plans to reduce the potential impacts should a labor disruption occur.

In the event of an ILA work stoppage, we anticipate that all USEC and Gulf Terminals will implement the same closure measures as they did in October. We may see halted operations, suspension of gate and rail services, while terminals and nearby depots may not be open to accept empty returns. Our operational team continues to assess impacted services and vessels and explore different options considering various timelines. More detailed information regarding specific closure times for each port will be provided as the date nears. We will promptly communicate specific vessel contingencies, ensuring operations are completed on time and that vessels are not docked

Equipment

In the event of ILA work stoppage, USEC and GULF terminals and nearby depots will not be open to accept empty returns. Please hold your empties until the terminals and depots reopen. Escalations can be sent to NAMEQUEDO@maersk.com

As the January 15 deadline approaches, we recommend that customers make preparations to move containers off terminals prior to any disruptions. It is not yet confirmed whether terminal operators will offer additional hours to support doing so, however please monitor terminal schedules for schedule adjustments that may present more opportunities to manage cargo. Your commitment to move containers off-terminal will help reduce the impact of not being able to access your cargo in the event of a terminal closure.

Should disruptions occur, we stand ready to assist our customers with exploring their options - keeping their supply chains moving best as possible via alternate routes, modalities, or distribution schedules. Customers are asked to stay in close contact with their Maersk representatives now as communicating supply chain requirements will be key to developing tailored contingencies if needed.

We will provide updates as the situation unfolds.

We want to keep you informed about the ongoing negotiations between the International Longshoreman Association (ILA) and the United States Maritime Alliance, Ltd. (USMX), which may impact your operations.

On October 3, a tentative wage agreement was reached, but discussions on technology-related issues stalled negotiations when both parties met in November. The situation remains dynamic as we await further developments, with the possibility of a strike on January 15 increasing without a settled contract.

Maersk Operations & Contingency Preparation

Our teams have identified potentially impacted vessels and are preparing contingency plans. If a strike occurs, we expect vessel operations to halt by midnight on January 15. The team is working on contingency plans to ensure operations are completed on time and that vessels are not docked during the work stoppage.

In the event of a work stoppage, US East Coast and Gulf terminals may halt operations, and gate and rail services could be suspended. You will receive more details as the January 15 date approaches. Similarly, terminals and nearby depots will not be open to accept empty returns. Please hold your empties until the terminals and depots reopen. Escalations can be sent to NAMEQUEDO@maersk.com

Should disruptions occur, we stand ready to assist our customers explore options to keep their supply chains moving best as possible via alternate routes, modalities, or distribution schedules. Customers are asked to stay in close contact with their Maersk representatives now as communicating supply chain requirements will be key to developing tailored contingencies if needed.

We will provide updates as the situation unfolds.