The collapse of Baltimore’s Francis Scott Key Bridge was a maritime disaster but not an economic crisis, experts said Tuesday.
“It’s a real human tragedy what’s happened, because there are people in the water,” RSM Chief Economist Joseph Brusuelas said. “In terms of economics, it will cause barely a ripple in the national macro economy.”
The Singapore-flagged DALI container ship collided with a pillar of the bridge in the early hours Tuesday, causing it to immediately collapse.
An all-hands rescue effort was underway late Tuesday. President Joe Biden said he would visit Baltimore as soon as he could.
The collapse of the bridge shut down the Port of Baltimore until further notice, effectively halting shipping operations at the nation’s eleventh largest port and one that serves as the auto industry’s top destination for exports.
In 2023, the Port of Baltimore handled over 847,000 cars and light trucks, more than any other port in the United States.
“It flies under the radar for most Americans, given its location,” said Brusuelas. “It’s not sexy, like the Port of LA, but it plays a critical role in the American supply chain.”
Auto companies like BMW and Volkswagen will likely be hit hardest at first, he added, given their heavy reliance on the Baltimore port. Consumers looking to buy new vehicles might see temporary shortages, meaning they could have to wait a few extra weeks to purchase their desired model.
