Computer chip shortages support congestion and lack of truck drivers the world supply chains are under extreme stress.
The u.s government has stepped up efforts to resolve the issue, threatening to disrupt the coming Christmas holiday season and slow down the post-pandemic economic recovery.
Port of Los Angeles
President Biden’s administration has decided that to push supply chains to operate faster, the port of l.a will now work 24 hours, seven days a week.
The administration hopes this will relieve supply chain bottlenecks. The la portal will join the port of long beach and step up round-the-clock operations to speedily address a packed lock of products.
That includes over five hundred thousand containers of cargo ships waiting to be offloaded at two ports, accounting for forty percent of all shipping containers entering the u.s.
Today we have some good news; we’re going to help speed up the delivery of goods across America.
What most of the leading countries in the world operate on now except us Until now, this is the first critical step toward moving our entire freight transportation and logistical supply chain nationwide to a 24×7 system.
Wallmart
The white house also said it had won commitments from companies, including Walmart, FedEx, and ups, to work extended hours and moved towards a 24-hour day scheduled in some operations. Walmart nation’s largest retailer has committed to a 50 increase in moving goods during off-peak hours.
Supply Chain Nightmare
The supply crisis is partly driven by a global core with the 19 pandemics as sales of durable goods jumped amid worker shortages and transportation hub slowdowns.
Strict border controls and mobility restrictions also hampered the transport sector, where teams were stuck at borders for months. The unavailability of a global vaccine pass also hindered the movement of such teams.
The supply chain nightmare is increasing consumer prices and slowing the global economic recovery lower than expected. Christmas sales could hurt u.s companies and pose a political risk for Biden as it grapples with the pandemic and inflation together as the Biden administration scrambles to relieve global supply bottlenecks choking u.s sports highways and railways.
Americans might have to face higher prices and empty shelves this Christmas and beyond; correspondent kate fisher centres this report from a Washington dc, listener.
US Supply Chain
The bottlenecks in the supply chain here in the u.s are coming into sharp focus as we head towards the Christmas shopping season here.
There are shortages of goods and problems in supplying and getting them from the manufacturers into the Americans’ homes. People who want to buy them, which means that the cost of items is also rising because of that scarcity, so there has been a meeting at the white house between retailers.
People who manage ports and shippers because a lot of this is because big container ships can’t access ports to unload their cargo.
So this meeting at the white house was to discuss how things could be improved there, the results being that the port of los angeles is now going to be open and operating 24×7.
It joins the port of long beach, which was uh has also gone to those hours a couple of weeks ago. The hope is that when these ports are open every day, they will be able to process more of these goods.
They’ve also negotiated with some of the biggest shippers in the us, ups FedEx and Walmart, to increase the hours their workers are doing as well.
The problem for the Biden administration is that it could be better for voters if they could do their Christmas shopping. Also, all of this is causing a spike in inflation, which is affecting Joe Biden’s poll numbers, and they want to reverse that as much as possible; it has been leveled at the Biden administration that perhaps.
The demand for goods has increased because of the generous uh payment they gave out in march to help those suffering from the pandemic. The Biden administration says that is not the case, and this is a problem affecting the entire world; there is a global supply chain issue and global supply chain disruption.
They say the big issue will be if this moves from just being a problem for Christmas gifts to things like diapers, pharmaceuticals, and things that people rely on to keep themselves healthy.
The tip from pete Buda, the transport secretary here, is that the best thing to do for Americans is to start Christmas shopping early.