U.S. Department of Transportation recently appointed its second Port and Supply Chain Envoy in less than two years.
Retired General Stephen Lyons takes over for John Porcari, who was thrust into the role last August during a rise in unprecedented supply chain snarls and perhaps the worst port delays in U.S. history. Porcari, a former U.S. Deputy Secretary of Transportation under Pres. Obama, lasted all of seven months during the most turbulent supply chains crisis before news of his exit leaked.
“Retired General Lyons will work with the US Department of Transportation (DOT), the White House National Economic Council, ports, rail, trucking, and other private companies across our supply chains to continue to address bottlenecks, speed up the movement of goods, and help lower costs for American families,” a joint DOT and Department of Defense press release stated heading into Memorial Day Weekend.
The White House lost at least 10 key cabinet members through mid-May, including key people dealing with Covid response, the president’s chief strategist, and press secretary, not including Porcari. Newly-minted Port Czar Lyons faces what could prove a crippling overrun of U.S. supply chains as Shanghai reopens, and American retailers have ordered early and often to ensure their inventories are robust come fall.
“Global supply chains will remain fragile as long as the pandemic continues to disrupt ports and factories around the world, and a lot of work remains to reduce shipping delays and costs for American families,” Transportation Secretary Pete Buttigieg reportedly said while announcing Lyons’ recent appointment.
The incoming Port Czar will have resources and planning that were not necessarily in place when Porcari took the post. The White House has made efforts to reduce port congestion since forming a supply chain task force in June 2021. Truck drivers are actively being recruited, legislation has been passed to prevent containers from returning to Asia empty, and pop-up overflow storage yards have received state and federal funding.
Logistics throughout the supply chain appear better than one year ago, and private-sector organizations have learned ways to bypass congested ports and exorbitant container rates. Pain points such as the Port of Los Angeles and Port of Long Beach have negotiated a 50-percent container dwell time reduction through the threat of fines and establishing offsite storage areas.
“During a time of historic global supply chain challenges as a result of the pandemic, the Supply Chain Disruptions Task Force and Port Envoy John Porcari helped ensure Americans could get what they need while supporting the fastest labor market recovery in history,” Brian Deese, director of the White House National Economic Council, reportedly said. “There is nobody better to pick up this important work than retired Gen. Lyons as we continue to address these challenges and move toward sustained economic growth.”
It may take a General to soldier through 2022 as the dog days of summer test the resiliency of the supply chain and newly-minted CDL holders.
Sources: freightwaves.com, seatrade.com, brookings.edu
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