The need to know
The need to know for the week ending 26th November 2021
The need to know from Reuters’ global network of journalists
More than half of German companies doing business abroad are suffering severe problems in their supply chains or logistics, pushing them to diversify suppliers, shorten delivery routes and even relocate their own production, a survey showed on Tuesday.
Global shipping and supply chain bottlenecks are encouraging Canadian firms to bring production back home, but some companies would have to absorb higher costs and build expertise in certain sectors for local manufacturing to pick up pace.
The massive rains that unleashed floods and mudslides in the Canadian province of British Columbia exposed the country’s supply chain vulnerability as crucial railways and roads were severed from the country's biggest port.
Alcohol and auto parts: Canada's warehouses fill up as floods stop flow of goods
Canada’s warehouses are filling up with everything from furniture to alcohol, after floods in British Columbia washed out critical rail and road lines, disrupting already strained supply chains.
The European Union's policy on state aid for the production of semiconductors will seek to avoid a subsidy race, and companies must aim for diversification to ensure a robust supply chain across the bloc, the European Commission said on Thursday.
Gap Inc (GPS.N) lowered its full-year forecast on Tuesday, with the apparel retailer expecting an up to $650 million hit to revenue amid supply chain disruptions that include factory closures in Vietnam and pricey air freight to ship goods.
Lithium consumers in the electric vehicle battery supply chain are seeking longer-term contracts with producers to secure supplies for as long as possible in a market where shortages have propelled prices to their highest in three years.
Global supply chain constraints will continue to hit freight movers until at least the end of next year and could stretch beyond 2022 as logistics companies struggle with labour shortages amid booming demand, Emirates' cargo boss said.
Nordstrom Inc (JWN.N) said labour costs pinched its quarterly profit and warned of product shortages at its off-price stores heading into the holiday season, sending its shares down 23% in extended trading on Tuesday.
Chinese e-commerce giant Alibaba Group Holding Ltd (9988.HK), slashed its forecast for annual revenue growth on increased competition and a regulatory crackdown, sending its stock tumbling 11%
Italian fashion group Prada expects to join talks between Cartier-owner Richemont (CFR.S) and online retailer Farfetch (FTCH.N) about launching a joint e-commerce platform as it seeks to boost online sales and grow overall revenues by 40%.
Applied Materials Inc (AMAT.O) forecast first-quarter sales and profit below market estimates on Thursday, as chip shortages slowed the supply chain of the world's biggest maker of tools for making chips.
Mapletree Logistics Trust said on Tuesday it was launching an equity fundraising of S$700 million ($513 million)through a private placement and preferential issue of units to finance acquisitions of properties in Vietnam, China and Japan.
China shares extended gains and ended higher on Friday, thanks largely to sharp rises in the property and logistics shares.
Shipping group CMA CGM on Friday reported a surge in third-quarter earnings and said it expected an even stronger performance for the end of the year as intense demand kept freight rates high and container capacity stretched.
The shipping industry may face unexpected risks from labour negotiations in western U.S. ports and winter weather in the northern hemisphere over the next few months, the head of German container firm Hapag-Lloyd (HLAG.DE) said on Thursday.
Supply chain snags are threatening to hamper deliveries of ethanol needed for blending with gasoline ahead of the Thanksgiving weekend, according to ethanol traders and producers.
From elsewhere around the web:
Why the chip shortage drags on and on… and on. [Ars Technica]
Walmart Launches Drone Delivery [SDC exec]
Trucking's role in untangling the web of West Coast port congestion [Supply Chain Dive]
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