Looming tariffs could spell trouble for port workers, supply chain
Philadelphia's largest port is a fast-paced operation where tens of millions of dollars worth of goods are moved from ships arriving from the Delaware River and onto delivery trucks. But the smooth operation could face a roadblock in the form of tariffs.
Leo Holt, president of Holt Logistics, told CBS News he's watching the news regarding tariffs "24 hours a day."
"Including meetings and Zoom calls and every other kind of a call with the folks in other countries who supply the United States with many types of goods," Holt said.
For Holt, keeping the supply chain moving is the family business. His company has operated for nearly a century and spanned four generations.
And while the nation's ports may be feeling relief after President Trump's 90-day pause on some reciprocal tariffs, the uncertainty remains.
"We are the nexus where ships are unloaded. Cargo is transferred. It's a very critical part of the supply chain," Holt said.
Last year, the East Coast took in $637 billion worth of imports, with $216 billion coming into Gulf ports and imports on the West Coast topping $548 billion, according to the Bureau of Transportation Statistics.
Holt Logistics employs about 500 workers at the Port of Philadelphia, where longshoremen unpack and load products like fruit from around the world — produce destined for supermarkets across the U.S. But should Mr. Trump's initial plan for reciprocal tariffs go into full effect, it could mean lower cargo volume.
"If those ships are not here, or if the loads on them are light, then the work hours will not be there. It really is the cargo that generates the opportunities," Holt said.
Dan Ives, global head of technology research at Wedbush Securities, put the situation bluntly: "We're looking at a financial armageddon."
"You'd have to go back to 1930 depression," Ives said when asked if there was any precedent for what the U.S. could be facing. He pointed to "protectionist" policies and "some of the tariff acts" at the time that he said "really prolonged and caused the Great Depression."
Holt Logistics survived the Great Depression by staying the course — not overreacting to the financial impacts of the tariffs and keeping the supply chain going. Holt plans to do the same now, even with the possibility of tariffs in the future.
"People are ready to go to work and they will innovate. They will work around and they will figure out what they need to do in a uniquely American fashion, no matter what the challenge is," he said.
