Another import tide washed up in June to widen the trade gap, with possibly even more headed this way in July and August, which could have awful repercussions at a time when consumers are in hiding, cargo executives say.
The flood of recent imports reflects retail orders placed three to six months ago, when the economic outlook looked far rosier than it does today.
Another aggravating factor is a severe shortage of vessels and containers, which obliges retailers to bring in holiday merchandise earlier than they would like in this age of just-in-time logistics – or risk a bottleneck reminiscent of the disastrous 2002 West Coast port lockout.
The import binge will have consequences – just how grave depends on an unpredictable consumer. But, at minimum, big holiday discounts are on almost everyone’s radar. (EconoPlay ahead of June trade data)