In the past year alone wildfires have ravaged California, multiple hurricanes have hit South America, and Indonesia has been rocked by a deadly earthquake and tsunami that caused thousands of fatalities. A digital supply chain management platform that monitors tens of thousands of data sources in real time—including weather feeds, port closures, traffic congestion and so forth—can immediately inform users where a supply chain disruption may occur and how that could affect their business. MORE

The enforcements of draconian lockdowns, various economies have experienced severe shocks, adversely affecting global trade, global tourism & travel, International Aviation and Airports as well as International Shipping and Ports. MORE

The same can be true for evaluating different transportation options. Severe weather can cause substantial delays, or even total shutdowns, of certain routes or modes of transportation. That means placing higher value on commodities that don’t need to be packed or shipped – things like ideas and great content, and other assets that can easily be transmitted digitally. MORE

In Indonesia, the number of web users jumped from 55 million in 2012 to 125 million in 2015. In 2011, Nigerian startup Mall for Africa, which ships American brands to Nigerian consumers, took in $17 million in 2014. Indonesia is also expected to become a major player in the e-commerce market. In Indonesia, TokoBagus and Lazada are two of the leading e-commerce providers. Sourcing from multiple countries can present a headache. MORE

A massive El Niño occurred in 1997-1998, unleashing record rains in California, deadly tornados in Florida, and a brutal drought in Indonesia, thus landing the term firmly on the radar (no pun intended) of millions of people around the globe. Identify Alternative Transportation Routes. For example, the Panama Canal has already restricted the size of ships permitted to pass through it due to drought conditions created by El Niño. MORE

Apple supplier Foxconn, others hit as India holds up imports from China-sources. India’s additional scrutiny of imports from China has disrupted operations at plants owned by Apple supplier Foxconn in southern India, three sources told Reuters, and other foreign firms are also facing delays as tensions between the two countries build. Shipping firm CMA CGM to impose emergency surcharge at Cape Town port. Crew crisis to trigger ship detentions and diversions. MORE

Alongside this trade revolution, shipbuilding became cheaper and the ships themselves bigger and more efficient. Ports became increasingly able to dock massive container vessels holding huge numbers of ISO-standardised containers, meaning it wasn’t only manufacturing that crashed in cost but the ability to transport the goods as well. Usually the issues we see are on the supply side, such as delays in manufacturing or transport. MORE

Reoccurring events—like the holiday season—used to provide some level of predictability to ocean shipping trends in the transpacific eastbound (TPEB) trade lane. Normally, we see a rush in ocean shipping just before the Chinese New Year (CNY). In fact, JOC.com sites many Southeast Asia countries—including India, South Korea, Taiwan, Thailand, and Indonesia—have significantly grown their imports into the United States, anywhere from 13-37% compared to last year. MORE

The effects include: Severe disruption to shipping, with many Chinese ports operating at drastically reduced capacity and around 200 sailings cancelled. Source Australian Bureau of Statistics. Refined petroleum: Australia sources most of its refined petroleum products from Singapore, which, with 138+ confirmed cases, is also in the COVID-19 firing line. Unpredictable levels of domestic and international shipping capacity. MORE

With less transportation capacity, carriers are forced to hike shipping costs, and airfreight rates from China to Europe were already up 253% YOY in April. There’s also the issue of sourcing , as companies consider nearshoring and reshoring and requalify and re-assess their suppliers and sub-suppliers. It’s a matter of time before many China-based supply chains shift into Malaysia, Indonesia, Vietnam, and Thailand, or come home. Subscribe Here! Email Address. MORE