The seasonal peak in demand for air cargo space has far exceeded traditional levels, increasing the shortfall of air freight capacity and inflating prices. Prominent long haul intercontinental routes are among those most severely affected, which has led to major automotive component suppliers experiencing increasing booking difficulty as available global capacity tightens.
The need for US residents to replace vehicles lost during recent hurricanes has helped boost September car sales in North America to an unexpected high. Major vehicle manufacturers experienced a year-on-year sales increase of up to 12% and the seasonally adjusted annual sales rate for light commercial vehicles in the country jumped to over 18.5 million units1. The short-term sales peak could have more broad ramifications for automotive production as the extent of supply chain disruption becomes clear, advises emergency logistics expert Evolution Time Critical.
The natural disasters to have hit internationally in 2017 could have far-reaching ramifications for global supply chains, which are not always immediately apparent, advises emergency logistics expert Evolution Time Critical.