Major maritime trade routes are running smoothly, while shipping rates are returning to Earth, and ports are moving cargo at a steady clip.
It is good news for businesses and consumers who are concerned about inflation and talk of a recession.
Global shipping speeds aren't back to pre-pandemic levels, and serious challenges persist in supply chains that foreshadowing even bigger problems Logjams will become commonplace if we don't act and improve shipping technologies.
This year’s improvements in shipping largely reflect a pullback in consumption rather than any improvement in the underlying infrastructure.
Businesses are taking too long to ship from Asia to the US or Europe. The time it takes to ship goods from China to the U.S. is nearly double what it was before the Pandemic. Maersk expects a 2% to 4% drop in world demand for containers this year due to a slower economy.
Volatile fuel prices, long labor negotiations, and worker shortages are just some of the problems that will plague global Logistics in 2022.
Businesses large and small are showing signs of trouble. Retail giants such as Target and Wal-mart are struggling with inventory build-ups ahead of the holiday season, as many companies were hit by a surge in imports that suddenly arrived after shipping delays lessened It will squeeze profits and cause unrest among investors while creating pain for small and medium businesses, which are finding it hard to reserve space at warehouses already overrun with goods from big retailers.
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