House T&I Presses White House to Safeguard Supply Chain

International Commercial Corridor Concerns Threaten Economy

Red Sea attack
The U.S.-owned ship Genco came under attack Jan. 17 from a bomb-carrying drone launched by Yemen's Houthi rebels in the Gulf of Aden. (Indian Navy via AP)

[Stay on top of transportation news: .]

House transportation policymakers renewed calls for the Biden administration to enhance its response to growing supply chain concerns.

Members of the chamber鈥檚 supply chain caucus recently pressed top administration officials to continue to address ongoing attacks credited with disrupting international shipping routes.

鈥淲hile the Biden administration has taken action to confront these attacks, violence and disruption persists,鈥 Reps. (R-N.C.), (R-S.D.), (D-Texas) and (D-Minn.) wrote to the secretaries of State, Defense and Transportation on Jan. 30.



鈥淎pproximately 20% of all container shipping passes through the Red Sea and Suez Canal, making any disruptions in that region of particular concern to shippers and customers alike,鈥 the lawmakers went on. 鈥淩erouting ships also results in lengthier shipping times 鈥 10 days of travel time on average 鈥 further exacerbating delays.鈥

At issue for the lawmakers are Iran-backed Houthi militants linked to aggression and attacks on commercial ships in the Red Sea. For a couple of weeks, U.S.-led airstrikes have targeted the Houthis, whose leadership explained its attacks respond to military conflicts in the region.

At a transportation committee hearing on Jan. 30, Rouzer, chairman of the , further emphasized: 鈥淚 have heard from industries all across the board 鈥 obviously 鈥 just how critically important the Red Sea and Suez Canal are to an efficient supply chain.鈥

Rep. (R-Fla.), Coast Guard and Maritime Transportation Subcommittee chairman, joined GOP colleagues in calling on the administration to continue its work to guarantee the safe arrival of goods at national ports of entry.

鈥淎t the same time these disruptions are occurring in the Red Sea, the Panama Canal is also facing bottlenecks as low water levels are forcing canal authorities to reduce transits by half 鈥 compounding uncertainty for ocean carriers and shippers,鈥 Webster said at the hearing, noting reduced water levels in the Panama Canal due to drought conditions.

Shippers are already in a rush to move goods before Chinese factories shut down for the Feb. 10-17 Lunar New Year holiday. So lower water levels in the Panama Canal leaves them to consider crossing the Pacific to West Coast ports and move the goods across country by truck or train.

鈥淲e saw firsthand during the pandemic what a significant supply chain crisis can do to the global economy, and we must not let it happen again,鈥 Webster added.

For senior Democrats, safeguarding commercial transportation corridors remains an ongoing priority that the administration is pursuing for the economy and the freight workforce. Rep. (D-Calif.) highlighted the military presence in the Red Sea and affirmed Congress 鈥渕ust find new and innovative ways to bolster the U.S. merchant marine.鈥

Rep. (D-Wash.), the panel鈥檚 ranking member, offered a forward-looking perspective on supply chain investments. 鈥淲hile we cannot control the rain in Panama, Congress can ensure that our infrastructure here at home works.鈥

"That means continued investment in roads, rail, airports, ports, vessels and the women and men that make transportation work," Larsen told colleagues during the hearing. 鈥淚t鈥檚 not too soon to start considering what that next investment in infrastructure and the U.S. maritime industry will look like.鈥

How does hydrogen fuel cell technology fit into freight transportation? Find out with Parker Meeks, the CEO of Hyzon, a company that designs and manufactures fuel cell technology for heavy-duty transport applications.听Tune in above or by going to .听听

Stakeholders offered insight and perspective during the hearing. , vice president of supply chain and customs policy with the , argued the supply chain landscape would benefit from continued attention to the Red Sea.

鈥淲e know the future impacts that will result from ongoing disruptions. While we are addressing the immediate issues impacting transit through the Red Sea and Suez Canal, we need to make sure we are preparing for the congestion issues that will impact U.S. ports in the coming months,鈥 Gold said.

, executive vice president for maritime policy and government affairs at , pointed to efforts designed to improve the supply chain, such as the U.S. 鈥檚 Freight Logistics Optimization Works, or FLOW, program.

Want more news? Listen to today's daily briefing above or go here for more info

鈥淚 want to congratulate the Department of Transportation for initiating the FLOW process, which is a pretty good attempt to try and open up some more visibility with the hope that we can project forward patterns much better based on the past. And it鈥檚 an example of a genuine public-private partnership that I think deserves some recognition,鈥 Darr told the committee.

According to the , motor carriers involved in the FLOW program include: , , , , and . Specifically, the bureau explained the FLOW program 鈥渕easures the nation鈥檚 cargo traffic demand against infrastructure and equipment supply, leading to a novel approach to optimize the use of supply chain assets. USDOT works with freight stakeholders to aggregate and identify demand forecasts of containerized freight volume and to provide timely and accurate asset supply at system nodes.鈥

Last year, the administration announced the launch of the . The office is responsible for maintaining and improving the condition and performance of the nation鈥檚 multimodal freight network.