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What are the true causes of ongoing supply chain disruptions?

SYSPRO Smarter ERP

There are many causes, for example, container ships from Asia are now too large to traverse the Panama Canal (20 years ago they were not), so they offload on the West Coast of the United States and are compelled to truck all goods to the East Coast. The current war in Ukraine will further destabilize the global supply chain.

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This Week in Logistics News (August 12 – 18)

Logistics Viewpoints

They stocked up again after Russia’s invasion of Ukraine pushed up the price of raw materials such as energy and wheat. The massive pileup is a result of water conservation measures the Panama Canal Authority deployed in late July due to drought. And now on to this week’s logistics news.

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Trends 2024: Risk Management

Enterra Insights

COVID shutdowns, the wars in Ukraine and Gaza and increasing tension over Taiwan show that it is past time to evaluate reshoring and nearshoring as insurance against catastrophic disruptions.”[3] … In Panama, the drought is tied partly to the El Niño climate cycle, along with long-term, human-caused climate change. .”

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Added Alerts to a Warming Earth and Supply Chain Climate Change Mitigation Efforts

Supply Chain Matters

Our January prediction noted that the ongoing Russia and Ukraine hostilities in early 2022 and the sanctions consequently placed on Russia by the NATO alliance nations precipitated a feared natural gas shortage that could have spread to other global areas.

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Interoceanic Passages

Abivin

In reality, appointment and price systems must be used to control capacity for interoceanic canals like the Panama and Suez. The four most significant interoceanic passes in the globe are the Strait of Hormuz, the Strait of Malacca, the Suez Canal, and the Strait of Panama. Potential for closure or interruption. 1200 feet).

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How To Overcome The Current Supply Chain Disruptions As A Manufacturer

Precoro

Some industries went straight from the frying pan to the fire, so to speak; as soon as the COVID problem had mostly cleared up, the Russian invasion of Ukraine disrupted supply chains for resources like food products and oil and gas.

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High Seas Troubles Affect Global Supply Chains, Part One: Security Risks

Enterra Insights

”[2] They go on to explain, “Russia’s invasion of Ukraine has turned the Black Sea into a gauntlet of warships and mines, navigated by grain-laden bulk carriers sailing under the fragile consent of two warring states. Climate change is affecting another crucial waterway, the Panama Canal.