Negotiations between American express delivery giant UPS and the International Trucker Brotherhood broke down early Wednesday, increasing the likelihood of one of the largest strikes in American history. This strike will have a significant impact on the US economy and the delivery of packages to millions of people.

The negotiations between the two sides held a marathon dialogue on Independence Day, but failed to reach an agreement. Although the relationship between the two sides has eased, both sides blame the other party for the failure of the negotiations. The International Truck Drivers' Union stated that UPS had made an unacceptable quotation and was unable to meet the needs of union members, thus leaving the negotiation table. UPS denies this claim and claims that the union has stopped negotiations.

The truck driver union has voted at the end of June to decide that if an agreement cannot be reached before the current contract expires on July 31st, they will hold a strike. The union emphasized their need to reach an agreement before July 1st. The deadlock between the two sides is worrying, as the last large-scale strike by UPS was in 1997, which lasted for 15 days and caused huge losses to the company.

UPS handles nearly 25% of the total number of packages in the United States, with approximately 24 million packages per day. If a strike occurs, it will inevitably lead to nationwide supply chain disruptions and delay the delivery of packages to millions of Americans. This will have a serious impact on both the US economy and consumers.

This will have the following impact on sellers:

Delayed delivery: A strike will result in UPS being unable to deliver packages on time, and sellers' products will face the risk of delayed delivery. This may lead to customer dissatisfaction, affecting the seller's reputation and customer relationships.

Order detention: Due to severe interference with the logistics system, orders may be stranded in warehouses or logistics centers, unable to be shipped in a timely manner. Sellers will face challenges in order backlog and inventory management.

Supply Chain Interruption: UPS's logistics system is widely used in various aspects of the supply chain, including raw material procurement, production, and final product distribution. The strike will lead to supply chain disruptions, and sellers will be unable to obtain the necessary materials as planned, thereby affecting production and delivery capabilities.

Cost increase: In order to cope with the impact of the strike on logistics, sellers may need to find alternative logistics service providers, which may lead to an increase in logistics costs. In addition, delayed delivery and order backlog can also increase additional costs for sellers, such as compensating customers or rescheduling logistics.

At the time of this standoff, the labor relations situation in the United States is very tense, especially in the express delivery industry. Last month, the United States Secretary of Labor had intervened in the agreement between the West Coast ports and dockworkers to avoid an economic slowdown and port strikes. Last year, the US Congress also intervened in strikes by freight railway workers. These events all indicate tense labor relations, and the threat of strikes cannot be ignored.

At present, people are waiting to see if the strike will really break out. This potential strike will become an important event in American labor history, with profound implications for labor relations and economic stability.