Stop, Drop, and Roll… Your Supply Chain Costs?

Mar 18

Good morning! ☀️

It’s been a week of big price tags and bigger supply chain headaches: Oil prices ticked up as the U.S. kept the pressure on Yemen’s Houthis, which means more uncertainty (and likely higher fuel costs) for freight. Meanwhile, over at Costco, TikTok is losing its mind over $479 king crab legs—because apparently, inflation hasn’t just hit fuel, it’s coming for your seafood boil too. And retail sales? They’re like a truck with a weak transmission—still moving, just not as fast as we hoped, up 0.2% instead of the expected 0.6%.

What does it all mean for logistics? More cost juggling, more demand shifts, and probably some heated discussions with shippers and customers alike. Let’s break it down. 🚛📦

“What you do today can improve all your tomorrows.”

— Ralph Marston

Oil Prices Climb Amid Middle East Tensions and China’s Economic Signals

Oil prices ticked up this week as the U.S. ramped up strikes on Yemen’s Houthis, aiming to curb attacks on Red Sea shipping. With tensions rising and China’s economy showing mixed signals, the global supply chain is caught in the middle. Brent crude jumped 1.1% to $71.34 a barrel, while WTI climbed 1% to $67.83.

💡 Why It Matters:

If you’re in transportation and logistics, oil prices dictate everything. Higher fuel costs mean tighter margins, increased freight rates, and potential reroutes due to instability in the Red Sea. Meanwhile, China’s economy is showing signs of life, which could mean stronger demand for goods—and more freight moving.

🔥 Hot Take:

This is a supply chain tug-of-war—geopolitical chaos on one side, economic optimism on the other. If you’re not tracking fuel prices right now, you’re playing checkers while the market’s playing chess.

$500 for Crab Legs? Costco’s Price Tag Has People Talking

Costco is known for bulk bargains, but TikTok is buzzing over a 10-pound box of king crab legs priced at $479. TikTok user Maggie (@maggieeatsss) shared an unboxing, comparing them to her usual go-to from the Alaskan King Crab Company. The verdict? Not as impressive as she hoped, but still decent. The real shocker, though, was the price—even Costco employees were stunned at checkout.

💡 Why It Matters:

This isn’t just about expensive seafood—it’s a supply chain story. King crab prices are climbing thanks to freight costs, labor shortages, and international trade issues. With restrictions on Russian imports and tighter fishing regulations, supply is shrinking while costs keep rising.

🔥 Hot Take:

Crab legs are basically the lobster of logistics right now—scarce, pricey, and making people rethink their grocery budgets. If this is where seafood is headed, what’s next for other high-demand freight?

Retail Sales Are Up… But Not Full Speed Ahead

February’s retail sales numbers are in, and while they’re not terrible, they’re not exactly exciting either—up 0.2%, but short of the 0.6% forecast. Online shopping and health/personal care saw gains, while bars, restaurants, and gas stations took a hit. Inflation is still creeping up, but overall sales outpaced it with a 3.1% YoY increase.

💡 Why It Matters:

If people are buying, goods are moving—but with spending slowing in some areas, logistics and freight demand could shift. Ecommerce is holding steady, but weaker discretionary spending (like dining out) could impact certain shipping lanes. Mix in economic uncertainty and route planning just got trickier for carriers.

🔥 Hot Take:

Retail isn’t crashing, but it’s not speeding ahead either. If you’re in freight, now’s the time to stay agile—watch spending trends, adjust capacity, and be ready to pivot.