By now, you’ve heard about the container ship that’s stuck and blocking the Suez Canal. Supply chains are already experiencing difficulties with insufficient chip supplies, furniture items are consistently on back order and now with the blockage of the Suez Canal, this impacts supply chains for oil, grains and automobiles (to name a few).
The estimate is it may take a week (but likely longer) to get the ship unwedged out of the canal.
With even more disruptions in supply chains, it’s also driving up prices for goods due to the shortage in supply.
For some, the only solution is to take longer (and more costly) routes like detouring around Africa – resulting in surging shipping costs (almost quadrupled in some cases!).
Supply chain managers in for an even rougher ride this year.