Geopolitical tensions are redefining the global supply chain
Good morning! Unless you’re in Hawaii or Arizona, don’t forget to set back your clocks today from Daylight Saving Time! ☀️
At FreightWaves’ F3: Future of Freight Festival in Chattanooga, Tennessee, FreightWaves CEO Craig Fuller and former assistant secretary of defense for public affairs Jonathan Hoffman sat down for a discussion. Together, they talked about geopolitical tensions among three of the largest players in the global supply chain - the United States, China, and Russia.
Check out today’s featured article from Freight Waves to read about the rearranging of the global supply chain and what a “second Cold War” between the United States, China, and Russia could mean for years to come. ☕️
Featured Article:
2nd Cold War and remaking of the global supply chain | Freight Waves
“F3 chat dissects global conflicts and effects on supply chain.”
Trade & Border Issues 🗺️
Defense industry execs and Pentagon leaders tackle supply chain issues
Deputy Secretary of Defense Kath Hicks will be conducting a meeting with top American defense contractors to discuss securing the nation’s supply chains. This will center around the National Defense Strategy and its missions regarding workforce challenges and shoring up the nation’s defense industrial base.
Since Russia’s invasion of Ukraine in early 2022, there is likely to be a surge in weapon demand for American allies such as Germany and Poland. Pentagon officials have voiced concern that U.S. defense suppliers are not going to be able to meet the demand without assistance. Top arms manufacturing such as Lockheed Martin Corp., Raytheon technologies Corp., and General Dynamics Crop. are participating and have been focusing on weapon development for Ukraine’s defense.
Sales & Peak Season 🎄
Fewer supply chain challenges will plague Black Friday this year, but problems are not over
Shortages of items from toilet paper to Play Station game consoles checkered the past two years, often causing a line of hiccups right around peak season - historically, the busiest time for the supply chain. However, clogged ports and shipping bottlenecks are not the case this holiday season. Instead, retailers are urgently trying to rid their shelves of overstock, starting sales early and urging their now financially-tight customers to spend away.
NRF and Prosper Insights & Analytics surveyed 2,000 consumers in September and showed results that 45% of them intended to shop in person on Black Friday this year. Products are in ample supply, but experts still say you may be wise to start holiday shopping early and take advantage of already on-sale inventory.
Let’s Get Global 🌎
🫠 China currently has the largest reserves of rare earth on the planet. Not only that, but they are also in the top slot for rare earth concentrate production and control up to 90% of the semiconductor chip global manufacturing supply chain. Bottom line: The county has immense leverage over the industry and the rest of the world is hoping to change the tides. Australia, Europe, and the United States have all recently invested heavily in chipmaking plants and are exploring options when it comes to sourcing rare earth minerals.
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.