The Logistician
  • Tiếng ViệtTiếng Việt
  • What to read today?
  • Knowledge
  • Insight
  • Podcast
  • Blog
  • Document
VIẾT BLOG
  • Login
  • Register
No Result
View All Result
  • What to read today?
  • Knowledge
  • Insight
  • Podcast
  • Blog
  • Document
VIẾT BLOG
  • Tiếng ViệtTiếng Việt
  • Login
  • Register
No Result
View All Result
The Logistician
No Result
View All Result

U.S.-China tensions threaten supply chains in almost all industries

September by September
07/09/2020
in Blog
Căng thẳng thương mại Mỹ-Trung khiến chuổi cung ứng của hầu hết các ngành công nghiệp bị đe doạ

There are few positions more uncomfortable nowadays than being an American company reliant on China. But reconfiguring supply chains is far from easy.

The big picture: A recent McKinsey report showed almost all industries at risk of supply-chain disruption. The exceptions are largely regional industries like glass, cement, and food.

Driving the news: The high-stakes negotiations over the fate of TikTok could yet fall apart, should China decide to bar valuable Chinese intellectual property from being used by an American company.

More important Chinese exports, especially pharmaceuticals, are also at risk. Chinese state-run Xinhua News Agency ran an op-ed in March calling for “strategic restrictions on the export of medical products to the U.S.”

Such restrictions could have savage consequences, given that China manufactures about 70% of the acetaminophen used in the U.S.; makes about 80% of the world’s heparin, an anticoagulant; and has a similar monopoly on the manufacture of antibiotics.

By the numbers: The report found 180 separate products for which one country — often China — accounts for more than 70% of the global export market. Many of those products are chemicals and pharmaceuticals.

Supply-chain disruptions will cost the average company about half a year’s profit every decade, estimates McKinsey. If competitors can take advantage of the disruption to gain market share, then potential losses grow even larger.

Be smart: While politicians in all countries tend to love the idea that the solution to this problem lies in increasing domestic production, the fact is that such relocations are often impossible in practice, especially where entire industries, with specialization and economies of scale, are found in specific markets.

What they’re saying: “Multinationals with production facilities in countries such as China,” says the McKinsey report, “are typically there to serve local consumer markets, whether or not they also export from those places. As prosperity rises in these countries, they are key sources of global growth that companies will continue to pursue.”

The bottom line: U.S. companies can make investments to become more robust and resilient to shocks.

Nevertheless, between climate change and growing nationalism, it’s reasonable to expect such shocks will become an increasingly frequent and disruptive part of the business cycle in just about every industry.

Source: Axios
Tags: Supply chainsTensionU.S-China

Related Posts

​​Shell and CMA CGM signed an agreement to supply LNG fuel in Singapore

​​Shell and CMA CGM signed an agreement to supply LNG fuel in Singapore

01/07/2022
0
Private: TP Hồ Chí Minh xem xét chuyển đổi mục đích sử dụng một số khu công nghiệp sang logistics

Ho Chi Minh City considers converting some industrial parks into logistics

29/06/2022
0
Image: Thu Trang

DB Schenker’s agreement to acquire USA Truck

28/06/2022
0
Finding new suppliers after the unprecedented “Chicken-rice crisis” in Singapore

Finding new suppliers after the unprecedented “Chicken-rice crisis” in Singapore

22/06/2022
0
FedEx invests in FourKites to build intelligent supply chain platform

FedEx invests in FourKites to build intelligent supply chain platform

22/06/2022
0
LG Electronics “shake hand” with CJ Logistics to develop logistics robots

LG Electronics “shake hand” with CJ Logistics to develop logistics robots

19/06/2022
0

ĐỀ XUẤT NÊN ĐỌC

A.P. MOLLER – MAERSK VÀ THƯƠNG VỤ MUA LẠI PERFORMANCE TEAM VỚI 545 TRIỆU ĐÔ LA MỸ

A.P. MOLLER – MAERSK COMPLETES ACQUISITION OF PERFORMANCE TEAM

3 years ago
0
Đừng bao giờ đóng hàng bằng một container không đủ tiêu chuẩn – Hãy kiểm tra kỹ lưỡng để đảm bảo hàng hóa của bạn không bị hư hại

Don’t be caught out with an unseaworthy container – follow this checklist and avoid cargo damage

3 years ago
0
Khoảng hơn 1.900 container bị rơi khỏi tàu ONE Apus trên Thái Bình Dương

Massive Cargo Loss: Estimated 1,900 Containers Lost or Damaged on ONE Apus

2 years ago
0
Tình trạng thiếu thốn các hàng hóa thiết yếu tại Mỹ – Hồi chuông cảnh tỉnh cho việc quá phụ thuộc vào các nhà cung ứng nước ngoài

Shortages of key goods during the coronavirus pandemic revealed America’s dangerous dependence on foreign countries

3 years ago
0
ADVERTISEMENT

THẺ NỔI BẬT

ACQUISITIONaircraftairlinesamazonAppleblockchainBoeingchinaCMA CGMcontainerContainer shortageCovid-19covid19crisisDHLe-commerceEVFTAexportfedexgoodsinfrastructureInvestmentLNGlogisticsLogistics centerM&Amaerskportport congestionRAILWAYRussiaRussia-Ukraineseasupply chainSupply chain disruptiontechnologyThai AirwaysthailandtransporttransportationusvietnamVietnam AirlineswalmartWarehouse
ADVERTISEMENT

TIN TỨC PHỔ BIẾN

  • Uniqlo Supply Chain Management

    Uniqlo Supply Chain Management

    0 shares
    Share 0 Tweet 0
  • Certificates that advance your career in Logistics and supply chain management

    0 shares
    Share 0 Tweet 0
  • How Aviation Fuel Differs From Regular Fuel

    0 shares
    Share 0 Tweet 0
  • Cross-docking: The key to Walmart’s great success

    0 shares
    Share 0 Tweet 0
Facebook Twitter Youtube RSS
The Logistician

© 2021 Copyright The Logistician - Designed by Đông Đô Media.,JSC.

  • Login
  • Sign Up
  • What to read today?
  • Knowledge
  • Insight
  • Podcast
  • Blog
  • Document
  • Tiếng ViệtTiếng Việt

© 2021 Copyright The Logistician - Designed by Đông Đô Media.,JSC.

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

-
00:00
00:00

Danh sách

Update Required Flash plugin
-
00:00
00:00