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The 25% tariffs on Canadian and Mexican imports and 20% tariffs on Chinese goods are expected to increase production costs, disrupt logistics networks, and force companies to rethink supply chains. Retailers and e-commerce giants like Amazon are stockpiling key inventory, preparing for potential further trade restrictions.
Strategic moves like bulk buying, closer supplier partnerships, and syncing procurement with supply chain planning can tighten inventory, cut waste, and free up cash. In contrast, Apple demonstrated foresight by relocating portions of its iPhone production to Vietnam and India. What Is Agile Procurement? For example, U.S.-based
Tariffs are reshaping sourcing strategies, forcing tech upgrades, and making inventory planning a lot more complicated. For global businesses relying on real-time logistics and lean inventory models, the question is how prepared is your supply chain when tariffs hit? How Do Tariffs Affect Supply Chains?
The Supply Chain Matters blog provides observations and additional information perspectives related to the 2025 State of Logistics report. Background and Summary Earlier this month, the Council of Supply Chain Management Professionals (CSMP) released findings from its annual State of Logistics research report. percent of national GDP.
That will be an important consideration for the retail and wholesale customer fulfillment and logistics services teams. Parcel logistics provider UPS has indicated plans to hire upwards of 125,000 added workers to compensate for the shorter holiday fulfilment period this year. billion and $297.9 East and Gulf Ports labor strike.
In addition to reduced transportation costs, nearshoring companies are also able to reduce lead times and hold lower levels of inventory; since there is less of the uncertainty associated with long-distance ocean-transportation. This means that what Americans consider offshoring is actually nearshoring for us.
The topic/report will be on the logistics M&A so far this year. Included in the 85%, our top four sourcing countries are Vietnam, Bangladesh, Cambodia and Indonesia in that order. The remainder of our production comes from Southeast Asian countries, primarily Vietnam. Look for another article later this week.
Our warehouse management solutions have been instrumental in enhancing operational efficiency and inventory accuracy across various industries by offering real-time visibility and automation capabilities. Learn how Seedcom is streamlining its processes and optimizing inventory to support its daily operations.
Reported on April 24 For the moment, we have paused certain purchases from China that were destined for the US market, and will rely on our current inventory to meet short-term demand. Recall, we purchased targeted additional inventory in late fiscal '25 and early fiscal '26, ahead of tariffs. billion to $1.6
Whipsaw Effects Continue Leading up to today there were reports that multiple countries, including Japan , South Korea and Vietnam were sending delegations to Washington to negotiate better terms to prior announced tariff levels. in order to stockpile inventories prior to significant tariffs taking effect.
Here’s your supply chain & logistics news for the week. Some key developments in supply chain and logistics include Vertex Pharmaceuticals’ successful integration of a human-centric digital strategy, leveraging technologies like Continuous Manufacturing and MES to boost agility and workforce adoption.
tariffs: stop offering less-popular styles during the holiday shopping season so they can avoid having to offer discounts to move inventory. Levi Strauss limits selection for holiday shopping season due to tariffs Levi Strauss (LEVI.N) has a simple strategy to deal with U.S. Retailers' exposure to tariffs on Asian countries U.S.
China trade tensions force shippers, carriers, brokers, and brands to reassess logistics strategies. 8 As such, the challenge to quickly manufacture and transport inventory now, or at a moment's notice, remains paramount. The global supply chain stands at another critical juncture as U.S.-China Imports from China fell to $29.4
European truckmakers tackle rare-earths bottleneck with stockpiling, supply chain shifts European truckmaker Volvo Group has been seeking alternative sources of rare earths and Daimler Trucks has been building inventories to deal with supply issues linked to Chinese export curbs, saying lessons had been learned from the chip crisis.
For as many curve balls that are being thrown at us, the same kind of curve balls are being thrown to them and everyone is taking a slightly different approach with how they're managing their inventory and their order pattern. It's really in Q3 that we expect to see some tariff impact coming through as it works through the inventory of cycle.
The panel consisted of three voices with rare insight into the collision of policy and commerce: Chris Smith, president of Summit Global Strategies; Tim Manning, former White House supply chain coordinator under President Joe Biden; and Nick Stachel, logistics strategy adviser at Izba Consulting. bound vessel frequency. each week.
From our lens, we believe that this December data is further evidence that industry supply chain teams are indeed front-loading or hedging inventory just-in-case purchases in expectation of announcements of higher tariff rates by the incoming Trump 2.0 administration. In any case, U.S.
companies experienced logistics cost increases of 10% to 15% due to tariffs in the past year. This was evident in the apparel industry, where brands such as Nike faced delays after tariffs on Chinese textiles prompted a shift to suppliers in Vietnam and Bangladesh. An estimated 60% of U.S. Automotive For Ford Motor Co.,
US-China trade reprieve buys Shein and Temu time to restock US inventory An agreement between the United States and China to temporarily slash tariffs stopped short of reinstating the U.S. "de US slashes 'de minimis' tariff on small China parcels to as low as 30% The U.S.
The topic/report will finally be on the logistics M&A through the end of May. Eva Boratto - Chief Financial Officer With respect to inventory, we ended the first quarter with total inventory up 7% to prior year. We adjust prices as tariff-related inventory cost changes are implemented.
This inventory build up should enable many shippers to hit pause for a while and see where negotiations might lead before deciding their next moves shifting to other sourcing options or resuming shipments from China and facing higher costs. Phone This field is for validation purposes and should be left unchanged.
The open question is whether June’s expansion was related solely to inventory pre-loading prior to the imposition of considerably higher global wide tariff levels. Sentiment levels reportedly improved along with manufacturing employment growth. The June 2025 Manufacturing ISM® Report on Business ® recorded a contractionary PMI value of 49.0
Studying economics at Yale, Smith’s 1965 term paper pitched the idea of creating a logistics company that would carry only cargo, and do so for a package’s end-to-end journet, such that a package could be delivered almost anywhere in the US overnight. Blaine Inventory Specialist, Syncron Posted on: Nov, 16 2016 Lora, great article!
and Vietnam have been far short of comprehensive, leaving many details unclear. Tariff and Deportation Policies on Collision Course in Agribusiness Global Trade & Economics How Reverse Logistics Is Reshaping Retail’s Future Reverse Logistics Digital Edition SupplyChainBrain 2025 ESG Guide: Is ESG Still Relevant?
In retail, managing inventory is always important. Dave Bergman – CFO Approximately 30% of our volume is sourced from Vietnam, 20% from Jordan, and 15% from Indonesia. We do expect that wherever demand ultimately develops through the year that we'll be able to manage inventory within a pretty tight range to that.
At stake for Boeing is the opportunity to finally clear its inventory of already built aircraft, a step to improving its finances. Dockworkers, Port Employers Set to Restart Talks Bloomberg Vietnam Inks Deals to Buy $3 Billion U.S. and Asia’s biggest economy. and Asia’s biggest economy.
And for Asia – Europe shippers, rates started climbing again in November much earlier than usual for pre-LNY demand as importers must ensure they move all the inventory they need out of China before the holiday or risk a much longer than usual wait to receive goods after LNY due to continued Red Sea diversions.
Apparel and footwear production hubs in Asia, including China and Vietnam, face elevated tariff rates as the White House pushes for new trade deals. The company and its retail peers are trying to manage supply chains that have been upended by U.S. President Donald Trump’s trade wars.
Well, ARC Advisory Group , the owner of Logistics Viewpoints, has been conducting research on the PLC market for decades. And now on to this week’s logistics news. million-square-foot warehouse in Connecticut Flexport announced the acquisition of Shopify Logistics’ assets, including Deliverr. Come on – not a chance!
In Asia, Vietnam and Bangladesh are more important sourcing locations. There will be one view of inventory across the entire distributed network.”. To achieve this, VF has invested in their logistics infrastructure. Because there is now one global view to inventory, the right warehouse can be leveraged to support order flows.
XPO Logistics Agrees to Acquire NLM. I’m guessing, however, that many supply chain and logistics software vendors (and probably many 3PLs too) rushed to their phones yesterday to call Home Depot’s SVP of Supply Chain Management in hopes of getting a piece of that $300 million pie. Freight Shipments Fell 0.7% in October from September.
As part of the launch of its hotly anticipated iPhone 14, it has ramped up its production output in India and Vietnam as an alternative to China, with Foxconn, the manufacturer of Apple’s iPhones, announcing plans for creating 10 to 12 facilities in India. Inventory and Capacity Buffers. Manufacturing Network Diversification.
His areas of specialization include global value chain innovations, supply chain management, global logistics, inventory modeling, and environmental and social responsibility. Inventory problems could mean anything: distribution, logistics, manufacturing, design. You can’t ever look at just one end. The fabric matters.
Many China-reliant US importers may be well positioned to completely pause shipments from China at least for a few weeks because of inventory surpluses built up over the last few months via frontloading ahead of the expected tariffs. Email This field is for validation purposes and should be left unchanged.
Changing Landscape of Supply Chain Executives Traditionally, supply chain executives excelled in managing functions like transportation, warehousing, inventory, and production planning but supply chain process extends beyond the firm, involving global relationships with suppliers and customers.
Interestingly, while rates from China have declined, prices from Taiwan and Vietnam have remained elevatedlikely reflecting importers’ rapid pivot to alternative sourcing markets. Cash Flow Crunch Cash flow is always top of mind for small business, especially importers who have to front payments for their cost of goods. .
Determine the optimal scenario that minimizes total production, freight, inventory costs and meets service requirements. Disruption Response: Don’t just react to a supply chain emergency—treat emergent disruptions as a chance to think strategically about your logistics network.
There are many reasons why, as I’ve discussed in previous posts and Talking Logistics episodes , including: Supply chain data is stored in too many systems, in too many formats, across many companies and geographies. struck Vietnam. Store-level inventory. At 9:05am today, an earthquake of magnitude 7.0 Customs clearance status.
My projects in Malaysia, Philippines, China, Indonesia and eventually Vietnam, ranged from customer service and order fulfillment, shop-floor planning, inventory management, import/export and procurement. Family reasons relocated me to Bangkok in 2011. . Being financially savvy is a new basic.
This is a huge step that requires the extensive support of groundbreaking logistics that helps distribute the clothing to appropriate locations across the country or countries. Countries, especially in South Asia, like China, India, Bangladesh, Pakistan, Vietnam, etc., This reduces the cost of keeping the inventory that would not sell.
However, when people refer to supply chains, they often use the terms ‘supply chain’ and ‘logistics’ interchangeably. The difference between supply chain and logistics. The life of coffee begins with growers in the likes of Brazil or Vietnam. What is logistics? Examining KPIs: Supply chain vs. logistics.
The majority of the world’s coffee beans are grown in Brazil, Vietnam, Peru and Colombia, but can also be grown in other favourable, humid climates. Find out how they manage their complex supply chain with the help of inventory management software. Coffee retailers Campos Coffee source their beans from Kenya to Columbia to Brazil.
Using shop-by-store features to check inventory availability before going to make purchases in-store. In creating a seamless omnichannel experience, it is imperative to ensure your products are available when and where the customer expects them, with inventory optimized to the ideal location. . Inventory Visibility.
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