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Ambassador Bridge protests could impact West Michigan businesses soon

Automotive Industry Expert Mike Wall says the impacts are already showing in a stressed supply chain.

MICHIGAN, USA — As the protests in Canada persist, the closure of the Ambassador Bridge is impacting far more than roads. 

America's Largest border crossing is responsible for a massive share of parts that keep countless industries running. But if it stays closed, what will that mean for businesses in West Michigan?

RELATED: COVID-19 protests threaten border trade between Canada, US

"We need to get back open," said Josh Lunger, Vice President of Governmental Affairs with the Grand Rapids Chamber of Commerce. "I think it highlights just how important this crossing is." 

Lunger says one in every seven jobs in West Michigan is directly linked to trade with Canada, more specifically the goods being hauled over the Ambassador Bridge on a daily basis. He called it Michigan's link to the global market.

He says this slowdown and blockage in shipping is exposing the holes in our system. 

"These issues are compounding and the timing couldn’t be worse," He said. Air freight, cargo shipping or freight railways aren't able to pick up the slack in the wake of a worker shortage, and he says there simply are not enough boats to compensate such a loss in productivity.

When the border crossing in Detroit comes to mind, the logical jump is to think of impacts on the automotive industry. Mike Wall, an Auto Market Expert with IHS MarkIT says the supply chain for Detroit and the rest of the auto industry was already stretched past what was originally thought of as the limit.

"There is not a lot of slack in the system," he said. "Were already starting to see it, some plants have started to run short, short shifting, partial shifts things like that."

Wall says it's not just auto that will be impacted. He used the example of office furniture - a staple of Grand Rapids. The western side of the state will be impacted just as heavily as the east in Wall's eyes. He says for the short term, things are okay, but if the protests last too much longer, things could go downhill fast. 

"We don’t typically carry a lot of inventory in the supply chain as it is," Wall said. "We were already a pretty low so this just kind of adds to that." 

Lunger echoed that sentiment, wanting to see a swift resolution to the bridge blockade. He's more optimistic, saying the pandemic has been brutal to small and local businesses, but it's also taught more lessons on how to deal with adversity.

"Our employers are better equipped to handle supply chain issues than they were two years ago," Lunger said. If businesses made it this far, he says they will be able to weather this most recent storm as well.

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