Watchmen union local authorizes strike at Southern California ports

Six of 13 container terminals could halt vessel, yard and gate operations

WSJ Logistics Report’s Paul Berger writes that the Pacific Maritime Association said a union local representing 250 watchmen across the ports of Los Angeles and Long Beach voted to authorize a strike. The possible walkout could begin at 5 p.m. PT Sunday if a deal is not reached.

Port employers warned that the action could interrupt the nation’s busiest container-port complex. Vessel, yard and gate operations at six of the 13 container terminals could halt if other unionized workers do not cross the picket lines.

The watchmen local represents just 2% of the International Longshore and Warehouse Union workforce at the ports. Its members’ work nevertheless covers facilities that handle more than half of the complex’s cargo.

Employers said other International Longshore and Warehouse Union workers are not expected to cross picket lines, which would halt vessel, yard and gate operations at six of the ports’ 13 container terminals.

The threat comes as retailers rush final end-of-year merchandise through the ports for the holiday shopping season. The timing places the labor dispute against a heavy period for imports through the Los Angeles and Long Beach complex.

Ports data showed that the two ports handled a record 1,055,086 containers in September, measured in 20-foot equivalent units. That was 24% higher than the same month a year earlier.

Most unionized dockworkers at the ports operate under a labor agreement reached in 2023 that expires in 2028. The watchmen work under a separate agreement that expired in July 2025 and have continued operating under a contract extension.

The watchmen’s authorization leaves a possible walkout for 5 p.m. PT Sunday unless a deal is reached. Port employers’ warning centers on how other unionized workers respond to the picket lines and how much of the complex’s cargo-handling work would stop.

Anduril and Qualcomm to build BlueChip computers

Anduril Industries, which makes unmanned jet fighters and robot submarines, will soon begin manufacturing laptop computers.

WSJ’s Heather Somerville writes that Anduril and chip maker Qualcomm Technologies are joining to build a new line of personal computers called BlueChip. Anduril is making the devices at its Ohio manufacturing facility, and Qualcomm is supplying the chips.

The companies said BlueChip computers will be heavy, rugged and waterproof, designed for the military, government workers, police, first responders and workers in national-security fields.

The team behind BlueChip will build the vast majority of each computer using materials sourced from the U.S. and allies, and plans to eventually use exclusively American-made components. Some parts, such as the display panel, are not currently made in the U.S. Anduril is also working on developing those materials itself.

The report said the laptop would be the first American-made computer in decades.

Palmer Luckey, founder of Anduril Industries, said “Where you control the supply chain, you control everything. Nobody can use it as leverage against you.”

Reporters say Cuba’s fuel crisis is opening the economy

WSJ reporters Roberto Ferdman and Belle Cushing, reporting from the ground, write that Cuba is in the midst of its worst economic crisis in decades, as escalating U.S. sanctions and a fuel blockade continue to create shortages of food, fuel and other basic goods.

Ferdman and Cushing describe the fuel crisis as forcing Havana to open its economy. As the communist government’s state-run institutions fail, the island’s private sector is beginning to take off, thanks to a wave of overhauls that have opened up Cuba’s economy more than at any time since the revolution.

Economic indicators, corporate results and package volumes

United Parcel Service’s average daily U.S. domestic package volume fell 3% year over year in the third quarter, while revenue for that business segment grew 4.5%.

WSJ economic briefs reported that U.S. consumer confidence rose in October; consumer confidence in Germany fell slightly in its forecast for November; orders for durable goods in the U.S. grew in September; and China’s industrial profit growth surged in September. Chinese consumers bought about 22% fewer passenger vehicles through September this year compared with the same period last year.

WSJ company briefs reported that Microsoft is offering buyouts to 60,000 employees, the largest voluntary buyout offer in its history, and that Mercedes-Benz will offer a voluntary buyout program for support staff in Germany starting in December to increase efficiency. Coca-Cola’s profit rose in the third quarter as both volumes and prices increased. Consumer-goods maker Reckitt Benckiser lowered its full-year outlook after a Lysol manufacturing disruption dragged on sales in North America. German chemicals giant BASF lifted its earnings outlook for the year after reporting a strong performance in the most recent quarter.

Other logistics developments

Other items in the report carried outlet attributions.

Retail Dive reported that Walmart is extending its Black Friday and Cyber Monday sales this year. TradeWinds reported that Russia carried out strikes on two more cargo vessels in the Black Sea. Seatrade Maritime News reported that Iran threatened legal action against South Korea’s Sinokor for allegedly violating its rules for transiting the Strait of Hormuz.

Lloyd’s List reported that shipowners are putting off maintenance due to attractive shipping rates and high operating costs. gCaptain reported that the Trump administration plans to distribute $498 million in federal grants to modernize U.S. ports. Bloomberg reported that passengers on a luxury ship touring the world were told their unexpected final stop was Cambodia after the cruise company suspended operations, citing fuel costs.