ABSTRACT
The 9/11 attacks brought to the forefront long-standing concerns that terrorists could severely disrupt the global supply chain using shipping containers or vessels as a weapons platform. In response, new maritime security requirements were initiated. It has been difficult to quantify the economic impacts of these measures because of the reluctance of those involved in the global supply chain to share data for proprietary and security reasons and because of difficulties in quantifying costs. This chapter, by making use of interviews with senior US executives in manufacturing and retail operations, looks at how cargo interests involved in US waterborne container trade have responded to the new environment. A number of issues are addressed. What were the strategic responses of key manufacturing and retail concerns to the container security requirements? What did they conclude about the costs of imposed security requirements and did they see any benefits? What do they expect to happen in future and what would they like to see in future? What will this mean for companies in developing countries that do not have the benefits of scale and scope that large US corporations have?
