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Russian Oil Flows Through Western ‘Price Cap’ as Shadow Fleet Grows

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A report shows how Russia has largely evaded sanctions aimed at limiting its revenue from oil sales.A plan hatched by wealthy Western nations to deprive Russia of oil revenue is largely faltering, a new report found, with the majority of the Kremlin’s seaborne oil exports evading restrictions that were supposed to limit the price of Russian crude.Almost two years since an oil “price cap” was enacted, nearly 70 percent of the Kremlin’s oil is being transported on “shadow tankers” that are evading the restrictions, according to an analysis published by the Kyiv School of Economics Institute, a Ukraine-based think tank.Russia’s success at circumventing the sanctions imposed by the Group of 7 nations has allowed it to continue to finance its war against Ukraine. The effectiveness of the price cap has been marred by loose enforcement of the policy. Officials in the United States and Europe have tried to balance their goals of crippling Russia’s economy while keeping oil markets well supplied to prevent price spikes.The challenges underscore the limitations that the world’s advanced economies have been facing as they attempt to intervene in global energy markets to try to hasten an end to Russia’s invasion of Ukraine.The Kyiv School of Economics Institute, which has argued for tougher sanctions on Russian oil, noted in its report that Russia’s shadow fleet poses a threat to the world’s oceans because the tankers are often poorly maintained and not properly insured.“There have been several instances of shadow tankers being involved in collisions or coming close to running aground in recent months,” the report said. “Large oil spills have so far been avoided but a major disaster is waiting to happen and cleanup costs would reach billions.”We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Global Trade Grows but Remains Vulnerable to War and Geopolitics

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    New reports from the World Trade Organization and a Washington think tank showed how robust global trade could quickly be derailed by violence.The global system of container ships and tankers that move tens of billions of dollars of products around the world each day mostly functions fluidly and without notice. But in a few parts of the world, shipping lanes shrink to narrow straits or canals, geographical choke points where an isolated disruption can threaten to throw much of international trade out of whack.One of those is the Taiwan Strait, a 100-mile-wide strip of water between Taiwan and mainland China, which has become a critical shipping lane for countries across the globe.New research from the Center for Strategic and International Studies, a Washington think tank, has found that the strait is a conduit for more than a fifth of the world’s seaborne trade, with $2.45 trillion worth of energy, electronics, minerals and other goods transiting the channel in 2022, the most recent year for which data is available.The findings are significant given that the strait is at the center of a geopolitical dispute between Taiwan and China, which views the island as part of its territory. A blockade or military action from China that halted traffic in the strait could have dramatic implications for the global flow of goods, and the Chinese economy in particular, the researchers say.The estimates come at a moment when geopolitics is upending years of relative complacency about global trade dynamics. Wars in Ukraine and the Middle East, as well as pandemic-era lockdowns, have reshuffled global trade patterns and alerted consumers to the idea that disruptions in one part of the world can directly affect economic activity in another.In a report also released Thursday, the World Trade Organization said that the pace of global trade has been ticking up, but that rising geopolitical tensions and uncertainty over economic policy could drag it down.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Ports Rush to Reopen After Dockworker Strike Is Suspended

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    Days after tens of thousands of longshoreman along the East and Gulf Coasts walked out, their union and their bosses reached a tentative agreement on wages.Hours after a longshoremen’s union on the East and Gulf Coasts agreed to suspend its strike, major ports rushed to reopen on Friday and get cargo to businesses that have spent the last few days racked with fear over lost sales.The strike, which began on Tuesday and shut down many of the nation’s largest shipping hubs, threatened to weaken the economy weeks ahead of a national election. The Biden administration spent the last few days pressing the United States Maritime Alliance, the group representing port employers, and the union, the International Longshoremen’s Association, to find a way to end the strike.The two sides announced late Thursday that they had reached a tentative agreement on wages — a 62 percent increase over six years — and said they were extending the current contract until mid-January to negotiate other issues. The biggest remaining one is the use of automated machinery at the ports, which the I.L.A. considers a job killer. It was the first full-scale stoppage at East and Gulf Coast ports since 1977.Labor experts say the I.L.A. has more leverage in contract negotiations than unions in most other industries, because a walkout can shut down shipping facilities for which there are no practical alternatives. Labor experts said the wage increase was a big victory for the I.L.A. and its combative president, Harold J. Daggett, a 78-year-old, third-generation dockworker.“The I.L.A. seized the moment,” said William Brucher, an assistant professor at the Rutgers School of Management and Labor Relations. “Things really aligned in their favor.”Analysts said the strike was unlikely to lead to higher prices for consumers. Many businesses, anticipating the walkout, sped up their shipments so they could receive them before this week, softening the blow for many.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Port Strike’s End Is an Economic Relief to Savannah, Ga.

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    Viewed through a narrow lens, Savannah is a popular tourist destination with a seemingly aesthetic profile, accentuated by its Revolutionary War history, historic Black churches and colorful Victorian homes surrounded by Spanish moss.For big companies, the city’s primary attraction has been a grittier side that has fueled an economic transformation over the decades: Savannah is the No. 2 ocean cargo complex on the East Coast, home to thriving container terminals that handle millions of tons of freight each year.That economic motor for the city and the region sputtered to a stop this week after thousands of dockworkers represented by the International Longshoremen’s Association, or I.L.A., went on strike from Maine to Texas.Instead of a stream of trucks moving big boxes in and out of the port, a group of around 100 dockworkers stood outside the main gates on Tuesday, intermittently chanting, “No contract, no work,” with traffic reduced to vehicles that drove by honking in solidarity with the striking workers.But after three days, the group representing port operators made a new pay offer, and the union suspended the walkout.On Friday, the Port of Savannah was humming again.Trucks started lining up in front of the gates of the Garden City Terminal before sunrise, and by midmorning, large container ships made their way down the Savannah River, in clear view of the city’s downtown.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Harold Daggett, Port Strike Leader, Seeks Big Raises for Dockworkers

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    Harold J. Daggett is seeking big raises for longshoremen on the East and Gulf Coasts who have fallen behind workers on the West Coast.Nearly two decades ago, Harold J. Daggett was accused of being part of the mob’s efforts to control a powerful union, the International Longshoremen’s Association.He was a midlevel official of the union. After a high-profile trial, a jury acquitted him of fraud and extortion conspiracy, and he joined reveling supporters outside the Brooklyn federal courthouse. Motioning toward the building, he asked onlookers, “What doorway do I have to go through to get my reputation back?”Now, after 13 years as the union’s president, Mr. Daggett is seeking a different type of victory.He is leading a strike that began on Tuesday, shutting down most trade at a dozen big ports on the East and Gulf Coasts. The union, whose members move containers and other cargo on and off ships, is demanding much higher wages, improved benefits and limits on labor-saving technology.Mr. Daggett has cast the strike as a battle against large multinational corporations that earned outsize profits during the pandemic-related supply chain chaos. He has asserted that his 47,000 members have the upper hand because their work is essential to the automakers, retailers and other businesses that depend on the ports.“We’re going to win this thing,” Mr. Daggett, 78, said on Tuesday, along with an expletive, as members picketed outside a port terminal in New Jersey. “They can’t survive too long.”Some labor experts say Mr. Daggett is well positioned to get a good deal. “If they stop working, the goods stop moving,” said William Brucher, an assistant professor at the Rutgers School of Management and Labor Relations. “They have real economic power and leverage.”We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    in Economy

    Dockworkers’ Strike Halts Commerce at Newark Port, Affecting the Supply Chain Ecosystem

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    The strike by longshoremen has halted commerce at Newark and other ports on the East and Gulf Coasts, affecting an ecosystem of supply-chain workers.Every workday, on his early-morning drive to his job overseeing a warehouse in northern New Jersey, Sean Murphy takes in the frenetic scene of the busiest port on the East Coast.Towering cranes lift shipping containers off vessels newly arrived at Newark from points around the globe. Mile-long freight trains pull cargo to and from the docks. Belching trucks clatter down the highway, hauling containers to distribution centers from Maine to Florida.Not on Tuesday. As 45,000 dockworkers began a strike, shutting most of Newark and three dozen other shipping terminals along the Gulf and East Coasts, Mr. Murphy was confronted with the spectacle of a busy industrial hub now largely devoid of activity.Here was a visual encapsulation of the challenge confronting the global economy: cargo marooned, commerce frozen and no clarity on when normalcy will return.“It was eerie, like a ghost town,” Mr. Murphy said. “It was really creepy, if I can be honest with you. It was dead silent. I’ve never seen that in my entire life.”Beyond the atmospherics, the effective shutdown of Newark and other major ports threatens the livelihoods of millions of people who work near the affected docks — and businesses that depend on the flow of exports and imports.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    Port Strike Begins on East and Gulf Coasts

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    Members of the International Longshoremen’s Association walked out for the first time since 1977 in a standoff over wages, benefits and job security.For the first time in nearly 50 years, longshoremen on the East and Gulf Coasts went on strike Tuesday, a move that will cut off most trade through some of the busiest U.S. ports and could send a chill through the economy.Members of the International Longshoremen’s Association union, which represents roughly 45,000 workers, started setting up pickets after 11th-hour talks failed to avert a work stoppage.“Nothing’s going to move without us — nothing,” said Harold J. Daggett, the president of the union, addressing picketers outside a port terminal in Elizabeth, N.J., in a video posted early Tuesday to a union Facebook account.The United States Maritime Alliance, which represents port employers, declined to comment early Tuesday. The two sides were not able to agree on wage increases, and the use of new technology in the ports was a sticking point for the union.“We think they’re lowballing intentionally,” Leonard Riley, a longshoreman at the Port of Charleston in South Carolina, said on Tuesday. “We are going to be out until we have something to chew on.”Businesses now face a period of uncertainty. Trade experts say that a short strike would cause little lasting damage but that a weekslong stoppage could lead to shortages, higher prices and even layoffs.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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    How the Port Strike Could Affect the Economy and Certain Products

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    Transportation and warehousing sectors are poised to first feel the pinch, with a broader economic fallout expected if the strike drags on.As dockworkers at East and Gulf Coast ports walk off the job, economists are bracing for the strike to reverberate across the American economy.The strike, a result of a monthslong impasse between the union representing roughly 45,000 longshoremen and port operators, began at 12:01 a.m. on Tuesday. It will halt almost all activity at some of the busiest ports in the United States, from Maine to Texas. The International Longshoremen’s Association is pushing for wage increases that exceed those offered by the United States Maritime Alliance, the port operators group.The president of the International Longshoremen’s Association said the workers were “making history” by walking off the job for the first time in nearly 50 years.Bryan Anselm for The New York TimesPresident Biden said on Sunday that he was not planning to invoke the Taft-Hartley Act, a nearly 80-year-old law, to force dockworkers back to work if they strike.A strike could cost the economy $4.5 billion to $7.5 billion, or a 0.1 percent hit to U.S. annualized gross domestic product, every week as truckers and other workers dependent on the ports are furloughed and manufacturers experience delivery delays, according to analysts at Oxford Economics. While those losses would be reversed once the strike was over, it would take a month to clear the backlog for each week of the strike, the analysts estimated.Here’s what else to know about the potential economic fallout of the strike.A strike could cost the economy $4.5 billion to $7.5 billion for every week of the work stoppage.Erin Schaff/The New York TimesWe are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

  • 138 Shares149 Views

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    Port Strike on the East and Gulf Coasts: What to Know

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    Thousands of dockworkers who load and unload cargo ships could walk off the job on Tuesday, halting nearly all activity at ports from Maine to Texas.Thousands of unionized dockworkers on the East and Gulf Coasts could go on strike as early as Tuesday, stranding cargo and sending ripples through supply chains for consumer goods and manufacturing parts.A contract between the operators of port terminals and the International Longshoremen’s Association, covering workers who load and unload cargo ships at three dozen ports, is set to expire on Monday. Their facilities include massive container ports in New Jersey, Virginia, Georgia and Texas, as well as the Port of Baltimore, a major hub for the import and export of vehicles and heavy machinery.The port operators group, the United States Maritime Alliance, and the union remain at an impasse over wage increases. Federal officials have said President Biden is not planning to invoke a nearly 80-year-old law to force dockworkers back to work if they strike. It would be the first such walkout at all these ports since 1977.Which ports and goods would be affected?Workers at ports from Maine to Texas would walk off the job at 12:01 a.m. Tuesday. These ports handle about half of all goods shipped to the United States in containers. One of them, the Port of New York and New Jersey, is the third busiest in the country.Longshoremen play a crucial role in the movement of cargo. They are responsible for loading and unloading ships, and they secure vessels that arrive and depart from U.S. ports. For the most part, ocean transport to and from these ports can’t happen without them.Cargo that could be affected by the strike includes everyday consumer goods, like bananas, many of which come through a port in Delaware. Just over half of imported apparel, footwear and accessories also come through East Coast ports. Manufacturing parts and cars move through these ports, too.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More