Flaherty says China is cautiously Expect for freight reopening iceland phone number library and manufacturing is slowly returning but consumer spending is lagging, creating logistical imbalances and significant impacts on freight capacity and pricing.
Supply and demand is becoming more balanc
as China reopens and demand in Europe and the U.S. contracts.
Expect air freight pricing to remain high until passenger traffic rebounds and belly capacity increases. With passenger flights cancelled, the cargo often transported in the bellies of passenger planes has nowhere to go. Since February, much of that volume has moved to freighters or aircraft designed to transport goods in bulk.
The Global Business Travel Association suggests business travel will resume in the third quarter followed by intercontinental passenger travel, according to the International Air Transport Association, in the fourth quarter.
While fuel costs are at historic lows and are providing a tailwind, ocean freight costs could creep up as demand for ship (and ship container) capacity increases as an alternative way to store oil at sea so it can be sold later when prices rise.
Key takeaways for logistics
Resilient supply chains are flexible supply chains. Instead hague academy of international law courses of sole sourcing supply and becoming beholden to a single supplier, Flaherty says flexible supply ao lists chains with multiple sources of supply offer organizations optionality. While sole sourcing reduces costs and leverages economies of scale, it also makes supply chains less flexible, especially during crises: