A 13-day strike that disrupted shipments at Canada’s western ports is set to end after the dockworkers’ union and a group of employers agreed on a tentative deal.
The International Longshore & Warehouse Union, representing more than 7,000 workers, and the British Columbia Maritime Employers Association reached an agreement on a new four-year deal, according to a statement on Thursday. The parties didn’t release details.
The agreement paves the way for an end of the work stoppage at ports in Vancouver and Prince Rupert, the country’s busiest and third-busiest hubs.
Over the past 13 days, the strike at ports that handle a quarter of Canada’s total traded goods reduced arrivals of container ships and diverted vessels to US facilities, impeding imports of materials for manufacturing as well as exports of natural resources like potash.
The Canadian Manufacturers & Exporters trade group estimated the strike caused daily trade disruptions amounting to C$500-million ($380-million). The British Columbia Maritime Employers Association on Tuesday put the tally of disrupted cargo at C$8.6 billion so far. The Canadian Chamber of Commerce warned the disruptions could fuel inflation.
More than half of business owners belonging to the Canadian Federation of Independent Business were affected by the strike through missed sales, delayed production or orders, and the inability to export products. The world’s biggest fertilizer producer, Saskatchewan-based Nutrien, has cut production at its Cory potash mine, citing the port stoppage.