Surviving and Thriving: Essential Tips for Businesses Amidst a Bridge Collapse
Tobey Nesbit 4.2.24
The sudden and unexpected collapse of the iconic Francis Scott Key Bridge in Baltimore has sent shockwaves through the local and regional business community, serving as a stark reminder of the fragility of our nation's aging infrastructure.
The current status of the bridge is that it has completely collapsed after being struck by a large container ship on March 26th, 2024.
This has caused significant traffic disruptions in Baltimore, (with vehicles being forced) to use alternate routes like the Baltimore Harbor Tunnel and Fort McHenry Tunnel. Experts estimate this congestion could last [for] several years, as rebuilding the bridge is expected to take over a year and cost between $400 million, to $1 billion.
The economic impact on the city and surrounding region is expected to be severe. The closure of the Port of Baltimore, one of the busiest ports in the U.S., is costing an estimated $10-15 million per day in lost economic activity. This, is devastating, for industries like automotive, manufacturing, and coal exports that rely on the port. Small businesses near the bridge entrances are also bracing for a significant, drop in customers.
"This is a devastating blow to the Baltimore community," said the local Chamber of Commerce president, Beth Rheingold, Ph.D. "The Francis Scott Key Bridge is a critical piece of our infrastructure and economy. We're working closely with state and federal officials to get the bridge rebuilt as quickly as possible. But the impacts will be felt for years."
U.S. Transportation Secretary Pete Buttigieg has pledged the full support of the federal government, stating that the Biden administration will cover the entire cost of rebuilding the bridge. However, the timeline remains uncertain, with estimates ranging from 18 months to 5-7 years to complete the project.
U.S. Transportation Secretary Pete Buttigieg has pledged the full support of the federal government, stating that the Biden administration will cover the entire cost of rebuilding the bridge. However, the timeline remains uncertain, with estimates ranging from 18 months to 5-7 years to complete the project.
"This is a wake-up call for businesses, across the country," said a logistics expert. "Infrastructure failures can happen anywhere, anytime, and the impacts can be devastating. Companies need to have robust contingency plans in place to adapt quickly when disaster strikes."
Indeed, the collapse of the Francis Scott Key Bridge is just the latest in a series of infrastructure-related incidents that have plagued the United States in recent years, from farm fires to airplane malfunctions. Experts warn that the country's aging and underfunded infrastructure systems are increasingly vulnerable to both: natural and man-made disasters.
To address these challenges, the Biden administration has championed the $1 trillion Bipartisan Infrastructure Law, which provides historic levels- of funding for roads, bridges, water systems, and other critical projects. However, critics argue the law does not go far enough, and that a more comprehensive, long-term approach is needed to truly modernize and fortify the nation's infrastructure.
As businesses in Baltimore and beyond grapple with the fallout from the bridge collapse, the message is clear: adaptability and resilience will be key to navigating the infrastructure challenges of the future. Companies must be proactive in identifying vulnerabilities, developing contingency plans, and advocating for the infrastructure investments needed to support a thriving economy.
Businesses should consider the following strategies to adapt and change course when faced with a major infrastructure disaster:
1. Identify alternative transportation routes and modes to move goods and services.
2. Communicate proactively with customers, vendors, and partners about the impacts.
3. Develop robust contingency and resilience plans to prepare for future disruptions.
4. Collaborate with government agencies, industry groups, and other stakeholders to coordinate response and recovery efforts.
5. Advocate for increased and sustained investment in critical infrastructure to enhance long-term resilience.
The collapse of the Francis Scott Key Bridge is a stark reminder that the strength of our infrastructure underpins the strength of our businesses. By working together to address these systemic issues, we can build a more resilient and prosperous future for all.
Sources:
1 NPR article - "Mercedes, GM, Stellantis scramble; Port jobs are at risk after Baltimore disaster"
2 GovTech article - "Baltimore Bridge Disaster Will Test Nation's Supply Chain"
3 Associated Press article - "Baltimore bridge collapse: Companies are scrambling to reroute cargo"
4 CNBC article - "Baltimore bridge collapse: U.S. economy will feel minimal impact"
5 MHLNews article - "Supply Chain Disaster Occurs at the Port of Baltimore"
“Everybody is trying to figure out the impact of the supply chain”
Jonathan Gold, vice president of supply chain and customs policy at the National Retail Federation
We use cookies to improve your experience and to help us understand how you use our site. Please refer to our cookie notice and privacy policy for more information regarding cookies and other third-party tracking that may be enabled.
