As Year-End Shopping Season Approaches, Logistics Congestion Worsens, Prompting Response Measures
Government Leads Effort to Operate Ports 24/7 Year-Round
Calls for Cooperation from Companies Including Samsung
[Asia Economy New York=Correspondent Baek Jong-min] U.S. President Joe Biden, ahead of the year-end shopping season, requested private sector cooperation to resolve bottlenecks in the U.S. logistics network and mentioned Samsung.
The U.S. government plans to rely on the private sector to solve the logistics issues, as there is no clear government solution to the problem.
In this context, President Biden’s direct emphasis on Samsung’s role is interpreted as recognition of Samsung’s growing significance in U.S. logistics.
On the 13th (local time), President Biden met with representatives of logistics and distribution companies and labor unions to explore solutions to the recent logistics bottlenecks.
After the meeting with business leaders, President Biden announced the year-round 24-hour operation of the ports of Los Angeles and Long Beach, stating, "If the private sector does not step up, we will urge action."
President Biden said that Walmart, FedEx, and UPS have agreed to extend operating hours to address logistics bottlenecks, adding, "Target, Home Depot, and Samsung have agreed to expand activities during off-peak logistics hours."
Except for Samsung Electronics, all companies attending the meeting were American. Samsung was also the only company not primarily involved in logistics and distribution. Choi Kyung-sik, head of Samsung Electronics’ North America division, attended the meeting via video conference.
A Samsung Electronics North America official explained, "Since the U.S. government allowed 24-hour operation of ports with severe congestion, companies discussed actively responding to contribute to resolving the logistics difficulties."
President Biden’s actions on this day are interpreted as concerns over growing voter dissatisfaction due to logistics chaos ahead of the year-end shopping season.
President Biden also said, "People are worried whether the gifts they purchased for the year-end shopping season will arrive on time."
White House Press Secretary Jen Psaki, during the daily briefing, responded to the question, "Can you guarantee that gifts will arrive on time?" by saying, "We cannot guarantee it because it is not the post office, UPS, or FedEx," shifting responsibility to the private sector.
Press Secretary Psaki explained, "What we can do is mobilize all available means to reduce bottlenecks so that gifts can arrive on time."
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