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states, obvious disruptions to supplychains and supplychainriskmanagement were a given. Many of the states affected contained key ports and supply destinations, as well as transportation and logistics hubs. A supply plan is needed for the human element, as well.
SupplyChain Disruptions: A Survival Guide. Do you feel supplychainriskmanagement is too complicated to implement? This article will show you how one of the worlds leading companies put a theory into practice and survive many supplychain disruptions. 2009: H1N1 Outbreak in Mexico.
Moving on to this week’s supplychain and logistics news… Truckers gridlocked at U.S.-Mexico Mexico line as border agents moved (Reuters) Global trade growth loses momentum as trade tensions persist (WTO) Shipping Comes to Terms With $50 Billion Clean-Fuel Bill (WSJ – sub. Mexico Border Crossing Delays.
We predicted that “ direct materials sourcing strategies will continue to include needs for future growth markets for products and services along with business supply network sustainability needs from either a business resiliency or sustainability commitment lens. supplychain activity.
However, if that supplier sources materials from China or another tariff-affected country, the costs could still be passed down the supplychain. It’s a big blind spot for a lot of companies that have this hidden vulnerability of tariff risk that exists within their supplychain, says Clark.
The SupplyChain Matters blog highlights a published report indicating that Mexico is increasingly benefiting from a rethink of prior globally extended supply networks. A huge contributing factor has been T esla’s recent announcement regarding a significant vehicle assembly plant in Monterrey, Mexico. economy.”
SupplyChain Matters highlights a published report indicating that PC maker Hewlett Packard is modifying supplysourcing akin to China Plus and nearshoring sourcing actions. That would include alternatives to China under the umbrella of either China Plus or de-riskingsourcing changes.
Therefore, it’s critically important for supplychain executives to stay informed of these trends and make the time for learning because yesterday’s leading practices might no longer apply and they’ll need to develop and implement new ones to succeed moving forward.
Our 2023 predictions among areas of anticipated strategic shifting of industry product supply networks have indeed occurred as business and their supplychainmanagement teams actively initiated added resiliency and agility efforts with the major country recipients being India and Mexico.
manufacturers turn a blind eye to the fact that components sourced from democratic countries such as Korea, Taiwan and Germany are made with Chinese-controlled minerals. “If and Mexico moves on land,” he said. There were no supplychainmanagers on the panel or among the guests invited to comment. said Marchese.
The Forced Labor Enforcement Task Force was created to comply with Section 741 of the United States-Mexico-Canada Agreement Implementation Act. Need more transparency in your supplychain? Complying with the UFLPA In order to comply with the UFLPA, companies must evaluate their supplychains and take any necessary action.
Thailand , India , and Mexico this year. Broader Context Prediction Seven within our research arm’s 2024 Predictions for Industry and Global SupplyChains Research Advisory predicted that supplychain ESG initiatives and data collection would take on added significance this year. In March of this year, the U.S.
The June report further noted that output levels were falling in the intermediate and investment goods sector, both of which are rather important indicators for upcoming Q3 global supply network activity. The June reading reportedly marked the eighteenth consecutive month of expansion in this country’s manufacturing sector.
The increased cost of working capital and supplemental inventory levels to mitigate fulfillment risk is likely to revert back to just-in-time inventory management. Concurrently, supplychain leaders will be expected to continue efforts directed at instilling added supply network resiliency and tactical based agility.
From our lens, the August data further reflects ongoing shifts in production sourcing within specific industry sectors. We sense that the accelerating manufacturing growth across India is reflective of changing global sourcing strategies within specific industry sectors. in August compared to 57.7
Canada and Mexico are our second and third largest trading partners. Supplychainmanagers need to figure out what would take them down. Every supplychain for every product has a potential kill shot. It could be a single source you depend on, a single location, or a single country.
A China Plus sourcing stance has become ever more important as is longer-term alignment to government induced supplychain policies and legislation initiatives for deemed critical materials. Anticipated SupplyChain Business Process and Technology Enablement. Higher cost levels will need to be mitigated or reduced.
He made special mention of two recognized model facilities for smart manufacturing capabilities, one being the 65-year-old Lexington , Kentucky manufacturing facility along with the facility in Monterrey, Mexico. Sustainability efforts are further at the heart of current supplychain strategy. Others will follow.
Upon reviewing a grouping of developed regions, namely the United States, Eurozone, Japan and Taiwan, production and supplychain activity levels declined 2.9 Whereas, among a grouping of developing regions consisting of China, India, Indonesia, Mexico, Vietnam and Thailand , production and supplychain activity levels declined 2.4
In this developing region category, we want to make mention of countries reporting increased levels of demand which we believe are a likely sign that businesses are actively seeking alternative sourcing of supply network needs. The headline PMI posted a September value of 55.1 up from a value of 53.7 in August and 52.4
But between new proposed legislation, public sentiment and tariffs, responsible supplychain leaders will have to consider if and how they will want to alter their supply lines. The move from China, even if to other more reliable-in-a-crisis countries like India, Mexico or Singapore, will come at considerable cost.
According to a featured update on the company’s corporate website , McDonald’s North America Chief SupplyChain Officer Cesar Piña indicated that “ swift and decisive action ” is being taken following an E. Coli outbreak. “ We take food safety extremely seriously and it’s the right thing to do.
Prediction Background In our prior 2023 predictions published a year ago, we included two separate predictions related to how supplymanagement and their strategic sourcing teams would encounter an added focus on business strategy alignment. The latter, Mexico , has taken prominence as the primary exporter of goods to the U.S.
2023 Prediction Three: More Direct Control in Strategic or Tactical Multi-tiered Direct Materials Sourcing will Continue to be a Prominent Element of Business Strategy for Chief SupplyChain or Chief Procurement Officer Efforts. . Canada or Mexico. Prediction Background. customers increased to a level of $41.8
This included: Developing playbooks and contingency plans to address your most pressing risks. Evaluate structural changes in your supply base that could reduce risk exposure. Go digital: Explore the potential of dedicated supplychainriskmanagement solutions. Likely, yes.
This storm had previously brought destruction and severe flooding among Caribbean regions to include Puerto Rico, Cuba , and other island nations, and rapidly grew to be a Category Four hurricane as it crossed the warm waters of the Gulf of Mexico.
The implications for this industry’s supply networks have the potential to be rather challenging including product design and component sourcing dimensions. There are further added material sourcing and global movement implications. Internet services providers. with perhaps the exception of Volvo.
Tariffs hit hard on the bottom line by hiking up costs across supplychains, thereby affecting sourcing, manufacturing, and distribution decisions. However, if organizations adopt proactive tariff optimization strategies and build adaptive supplychains, these challenges can be turned into opportunities.
Salvage firm Resolve Marine , which helped contain the Deepwater Horizon massive oil spill in the Gulf Of Mexico has been contracted for these efforts.
We now share excerpts of Prediction Two likely to be one of the more longer-term consequential predictions, that which is related to supply network strategic and tactical sourcing strategies. With Mexico now representing the largest inflow of goods into the U.S., or other global companies. from China with similar conditions.
Nationalist and legislative policies tied directly to industry supplychainsourcing have continued during these past two years, especially involving the United States and China. While such announcements are likely subject to forthcoming political realities, they have already motivated some U.S.
According to reporting by Bloomberg ( Paid subscription ), Nations currently in the eye of the trade storm may see even sharper decelerations, with Canadas growth rate tumbling to less than half the OECDs December prediction, Mexico entering a recession, and the annual expansion in the US wilting to 1.6% percent to 2.2 The forecast for U.S.
In 2025, it will be impossible to avoid conflict and its impact on sourcing, manufacturing, and logistics. An increase in the flows between China and Mexico of assembled products, and materials and components produced in China has occurred. Everstream points out that the food industry is a particular source of concern.
That was changed after Canadian officials in the Ontario province agreed to suspend a 25 percent tariff on electricity supplied to three specific U.S. Reportedly, the Trump Administration continues to prohibit any exemptions related to specific countries including Canada, China, Mexico and the European Union. In dollar terms, U.S.
Source: S&P Global Intelligence and JP Morgan, 2024 Select Regional and Country Highlights United States The S&P Global U.S. Presidential election decided in favor of Donald Trump, new aspects of unknowns are introduced for global wide trade developments and of domestic production sourcing. for the month.
Citing sources familiar with the matter, The Wall Street Journal has reported that President Trump has elected to soften the impact of his automotive tariffs. including the Chevrolet Equinox small SUV that is produced in Mexico. federal government employee layoffs.
import tariffs focused on Canada and Mexico would go into effect tomorrow, the latest Trump Administrations announcement indicates they will plow ahead. For this particular small business CEO, the reality was described: A prolonged trade war with both Mexico and China is a severe blow to our business model. Over the weekend, U.S.
Source: Evan, Flikr. “I I will be wrong again,” I stated last year before making my supplychain and logistics predictions for 2017 , and I was right. SophiaTX Open Source Platform to Integrate SAP, Blockchain. Maersk and IBM Unveil First Industry-Wide Cross-Border SupplyChain Solution on Blockchain.
In this special weekend posting of SupplyChain Matters we highlight for our readers todays announcements made by the Trump Administration regarding added import tariffs. Tariff Announcements Late this afternoon , the White House announced the imposition of 25 percent tariffs being imposed on imported materials from Canada and Mexico.
In a prior industry specific commentary, SupplyChain Matters highlighted the implications of last weekends temporary product specific U.S. import tariff exemptions granted to high tech and smartphone supply networks. are assembled in Canada and Mexico, and will likely be impacted by the added 25 percent tariff levels.
The announcement follows an early March announcement of 25 percent import tariffs being imposed on imported goods from Canada and Mexico , which was subsequently delayed by 30 days in a later announcement in lieu of global financial market reactions. either in Mexico or Canada. The implication seems is that U.S.
According to various published reports, these tariffs will be widely applied to all US imports of steel and aluminum, including from Canada and Mexico , reportedly the top two foreign suppliers of the metals to the U.S. Mexico reportedly accounts for $6.5 billion in steel, and $9.2 billion in aluminum exports to the U.S. With the U.S.
trade practices, including persistent trade deficits and unfair currency practices, along with the flow of migrants and drugs from Canada, China and Mexico into the United States. That headline was that Trump signaled his goal to incur 25 percent added import tariffs on goods imported from Canada and Mexico hopefully by the first of February.
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