‘Supply chains will never return to normal. Managing crises is the new normal.’
- Diego Pantoja-Navajas, VP of warehouse management software, Oracle
A puff of wind in the Suez Canal. Three million cars that can’t be manufactured because of a semiconductor shortage. Furniture, BBQs, swimwear, bicycles and camping equipment that won’t make it to the shelves this year...
The Ever Given was only stuck for six days, but it held up 400 vessels – trade worth $60bn – and created an estimated 60-day ripple-through delay in shipping. A price surge followed inevitably: freight rates are currently triple the five-year average.
These are some of the takeaways from an article published in WIRED this week. Underlining the fragility of globalised trade, the Ever Given episode is just that: an episode. Expect another instalment soon, says Pantoja-Navajas. “If it’s not the Suez Canal today, tomorrow it’s the hurricane season and tension in the Middle East the day after. It’s not a question of ‘if,’ it’s ‘when’.’’
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