Forging a chipmaking alliance: will South Korea join the US, Japan, and Netherlands?
Good morning! It’s National Human Trafficking Awareness Day! Today, we take the time to recognize and raise awareness about the ongoing human trafficking crisis in our world and commit to taking action to end this human rights violation. Keep shining a light on this issue and work towards creating a future where all individuals are free from this type of exploitation.
On a lighter note, it is also National Clean Off Your Desk Day. So don’t forget to do that, too. 🧹
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US Ambassador to Japan Rahm Emanuel is singing like a canary. In a recent interview, Emanuel spoke of the importance of Japanese, Korean, and Dutch semiconductor companies working together to slow down China’s growth in the chip industry. While Japan and the Netherlands have already agreed to begin tightening controls on sales of semiconductors and chipmaking equipment to China alongside the United States, the South Korean government says that they are not currently in discussions with the United States regarding this matter. South Korea is also home to two of the world’s largest chipmakers - Samsung Electronics Co. and Sk Hynix Inc.
Check out today’s featured article from AJOT to read about the United States’ efforts to partner with Japan, South Korea, and the Netherlands in restricting semiconductor exports to the country’s biggest rival in the market: China. Will all parties at the table come to an agreement and is an agreement of this type the right thing to do? ☕️
Featured Article:
US needs Japan, Netherlands and Korea on chips deal, envoy says | AJOT
“The US is in discussions with Japan, the Netherlands and South Korea to restrict semiconductor exports to China, and it needs all parties to agree on a deal, US Ambassador to Japan Rahm Emanuel said in an interview.”
Retail & Deliveries 🚛
UPS expects 70M return parcels after the 2022 peak season
With projections to make any delivery driver gulp, the delivery giant UPS is expecting that it will handle up to 70 million packages in retail returns after the holiday season rush - and that’s just their company, alone. Compared to the 2021 season, the company has the capability of handling 5 million more packages this year than it was able to process one year prior.
After the holiday season, there are typically a high number of returns due to a combination of factors. One reason is that many people receive gifts that they do not want or that do not fit, and they choose to return them for a refund or exchange. Additionally, some people may have taken advantage of holiday sales to purchase items that they were not entirely sure about and decide to return them after the holiday. This growing number is likely to the number of retailers who recognize that customers are typically drawn to liberal return policies. Many retailers offer extended return windows or free return shipping during this time, which can make it more convenient for customers to return items.
Overall, UPS is a popular choice for customers because it is convenient, reliable, and provides a variety of services to meet their shipping needs.
Infrastructure & Electric Vehicles 🔋
Is American infrastructure ready for full-scale electric vehicle implementation?
Probably not…yet. The American Transportation Research Institute (ATRI) faced this question (and others) head-on in a recent study and seem to have concluded that the answer is not a simple one.
While there have been some recent developments and improvements, there are still a number of barriers and challenges that need to be addressed in order for the infrastructure to be fully prepared for widespread EV adoption. One of the main challenges facing EV implementation is the lack of charging infrastructure. Although the number of EV charging stations in the US has been increasing in recent years, it is still not sufficient to meet the needs of a significant number of EV drivers. Charging stations are also not always located in convenient areas, such as near highways or urban areas, which can make it difficult for EV drivers to plan long trips. Another issue is the lack of standardization in charging infrastructure. Different automakers use different types of connectors, and some charging stations may not be compatible with all types of EVs. Additionally, the current electrical grid in some areas may not be able to handle a large influx of EV charging.
The readiness of EV implementation also depends on government policies and regulations, that if supportive could create incentives for investment in charging infrastructure, research and development in EV technology, and consumer education. The government also plays a key role in promoting the deployment of charging infrastructure and other necessary infrastructure that would support the widespread adoption of EVs.
Let’s Get Global 🌎
Dave Grohl Boom GIF By Foo Fighters via GIPHY
🔋 China’s EV industry is skyrocketing. With massive investments in electric vehicle manufacturing, china is leading the globe in its race to electrify the streets. Tesla’s reign as the number one electric vehicle automaker ended in July 2022 after Chinese automaker BYD took its place and launched three new models into the European marketplace. With the country’s EV market shifting to focus on places like Africa and the Middle East as well, exports of the vehicles have begun to boom. While North America and Europe are scurrying to become major competitors as well, it seems that China is likely to dominate the global EV market for some time.
🇪🇺 Europe’s energy crisis was avoided by a warm winter. According to economists and officials, the looming “energy apocalypse” that was set to cripple the continent was narrowly avoided due to unusually warm weather throughout the region. The worries began when Russia abruptly ceased the vast majority of its imports of natural gas to the region, and a natural gas-dependent continent foresaw catastrophe. However, the potential for crisis is not yet behind the EU. The worst-case scenario may have been avoided, but the people of Europe have a difficult road ahead in terms of affordable energy costs.
🇳🇴 No way, Norway! Germany has traded Russia for Norway as the country’s import share dropped to just 22% in 2022. Russia began gradually cutting its gas supply via the Nord Stream pipeline to Germany over the summer and shortly thereafter ceased supplying via pipeline in September. While Russia cites the shut-off of the pipeline as a result of its inability to keep up operations and maintenance due to western countries heavily sanctioning Russia, some speculate that the move was instead in retaliation for those same sanctions. Germany began making up for the loss by turning to the imports from Netherlands and Belgium - but most notably, Norway.
iLevel With You 🏡
More topics for the average American household to consider…
🥊 Small businesses: prepare to enter the ring in 2023. Whether new or old, challenges never seem to cease for small business owners. A looming recession is on many minds as thicker red tape and regulations descend upon small businesses across the nation. Nela Richardson, a chief economist for payroll company ADP, is suggesting that labor and wages should be the top priority for small business owners to tackle. Employees will need to be compensated fairly, regardless of inflationary pressures. Additionally, the federally proposed changes to the “gig worker” definition could have a. huge effect on the labor force throughout the country - similar to what resulted from AB5 in the state of California.
🎓 Thinking about a career in the supply chain? Have no fear: current-day supply chain practitioners are here to give you the best advice available. Inbound Logistics gathered several statements from some of the most notable faces and names in the logistics industry so that you may share in their wisdom, too.
💰 Prepare for Tesla prices to keep on going up. The world’s now second-largest electric vehicle automaker is likely to begin boosting its prices after the company’s premium lithium supplier reneged on its deal due to growing demand. Piedmont, the supplier in question, has decided to charge Tesla for the price of the lithium during the time it delivers for its future market value instead of keeping to the originally agreed-upon price. Over the past twelve months, lithium prices have begun to skyrocket and supplies for the mineral are likely to remain tight throughout 2023 as more and more automakers and countries begin to rely on lithium.
GET SMART 🧠
Ramp up that brain power for these advanced topics…
🎤 How do we protect our most vulnerable supply chains? Enter Brett Williams, the former director of operations at the U.S. Cyber Command. DC Velocity’s David Maloney recently interviewed Williams and they spoke about his transition to cybersecurity expert post his military service as a commander in the U.S. Air Force.
🗼 The future of global supply chains relies on control towers. Control towers in global supply chains are centralized systems that help organizations manage and coordinate the flow of goods and information across their entire supply chain. The goal of a control tower is to provide visibility, control, and optimization across the supply chain, enabling organizations to make better decisions and respond more effectively to changing market conditions and customer demands.
🚢 The import-driven shipping boom has come to a close. According to the Global Port Tracker report released on January 9, by the National Retail Federation and Hackett Associates, the monthly import volume has dropped below 2 million TEU. This signals the end of the shipping boom that defined the logistics industry throughout much of the pandemic era.
The Workday Dash is an aggregation of articles regarding the transportation logistics, trucking, and supply chain industries for November 28, 2024, from iLevel Logistics Inc.