The globalization of supply chains, technological advancements that allow companies to replace labor, legal barriers to organizing and the shrinking share of factory workers — traditionally easier to organize — in the workforce have all taken a toll.
The auto industry, which has long relied on just-in-time manufacturing to reduce costs, is finding it has limited flexibility to deal with supply-chain disturbances wrought by the pandemic.
Ship congestion outside the busiest U.S. gateway for trade with Asia persisted over the past week as imports surged through March, usually one of the slower months of the year for container volumes.
Stubbornly high shipping expenses for businesses are getting sealed into contracts for the next 12 months, forcing companies to pass the extra costs on to consumers.
The Ever Given leaves in its wake several weeks or months of disruptions across a world economy where the pandemic revealed both the sturdy backbone of global trade and an Achilles’ heel.