Today's Supply Chain Pulse
Logistics volatility declared permanent in 2026 State of Logistics Report
The report finds supply‑chain volatility now a permanent condition, with U.S. logistics costs falling to $2.4 trillion, or 7.8% of GDP, down from $2.6 trillion in 2025. Five structural forces—uneven global growth, tighter financial conditions, geoeconomic realignment, labor constraints, and energy price swings—drive the new normal, while AI and automation reshape operations.
Also developing:
By the numbers: US IDFC partners with Chubb on $20B maritime reinsurance plan
‘A Shock to the System’: Roughly $300 Billion in U.S. Imports Changed Country of Origin Last Year
The Kearney 2026 Reshoring Index reveals that roughly $300 billion of U.S. imports switched country of origin between 2024 and 2025. Direct imports from mainland China fell by almost one‑third, costing the United States $135 billion, while Vietnam, Cambodia, Thailand and other Asian suppliers captured a combined $194 billion. Imports from Mexico rose 8% and Europe added $62 billion. Despite steep tariffs, a broad reshoring wave has not yet taken hold.
It Will Take More Than Tariffs to Bring Back US Textile Manufacturing, Industry Insiders Say
In April 2025 President Trump imposed double‑digit tariffs on a broad range of trading partners to spark a reshoring boom in U.S. textiles, but the IEEPA tariff regime was rolled back a year later with little impact on domestic output....
Industrial Control Systems Manufacturer Eliminates Stockouts
Nexus Automation and Control Systems, a Louisiana‑based maker of custom industrial equipment, replaced Excel and QuickBooks with MRPeasy’s cloud‑based MRP platform in mid‑2024. The switch eliminated chronic stockouts and overstocking, giving the firm real‑time visibility over roughly 3,000 SKUs and...
Shipping Lines Skeptical of Trump's Plan to Help Trapped Hormuz Vessels
President Donald Trump unveiled “Project Freedom” on May 3, promising U.S. Navy escorts for vessels trapped in the Strait of Hormuz. Shipping firms, however, say the plan lacks operational details and coordination with Iran, raising fears of renewed hostilities. BIMCO and...
Hapag-Lloyd and MSC Get Creative in Bid to Resume Middle East Gulf Bookings
Hapag‑Lloyd has resumed Upper Gulf container bookings by routing shipments through third‑party feeder services that avoid the Strait of Hormuz. The carrier will operate via the Khor Fakkan terminal in the UAE, linking Gulf ports with Oman and Indian gateways. This...
Joel Wayment: Rethinking Waste in the Cold Chain
In a follow‑up interview with Pharmaceutical Commerce, Joel Wayment, VP of 3PL Services at Cardinal Health, highlighted the hidden waste problem in pharma cold‑chain logistics. While recyclable materials have improved, single‑use gel packs and insulated containers still dominate shipments. Wayment...
Canada Giving $1.1 Billion to Firms Hit by US Metal Tariffs
Canada announced a C$1.5 billion ($1.1 billion) aid package to help firms hurt by the United States’ new metal‑tariff regime. In early April, the Trump administration replaced a 50% tariff on metal content with a 25% surcharge on the total value of...
Nvidia's Exposure to Asian Supply Chains for Components Hits 90% of Its Production Costs — Marked Increase From 65% Could...
Nvidia’s component sourcing is now 90% Asian, up from 65% a year ago, according to Bloomberg data. The shift reflects the growing share of physical‑AI products like Jetson Thor and DRIVE AGX Thor, which compete for TSMC’s 3 nm wafers and LPDDR5X memory....
CTA Sets CN, CPKC 2026-27 VRCPIs
The Canadian Transportation Agency (CTA) announced the Volume‑Related Composite Price Index (VRCPI) for the 2026‑27 grain‑shipping season, setting it at 1.9864 for Canadian National (CN) and 1.9474 for Canadian Pacific Kansas City (CPKC). Both indices represent modest increases of 0.659%...
Venice Biennale 2026 Jury Resigns Amid Political Row and Logistics Crunch
The five‑member international jury of the 2026 Venice Biennale stepped down a week before the May 9 opening, intensifying a political dispute over Russian and Israeli participation. At the same time, organizers confront mounting logistical hurdles and unveil a monumental...
ADB Launches $1.02 Bn Minerals-to-Manufacturing Financing Facility for Asia
The Asian Development Bank (ADB) unveiled a Critical Minerals‑to‑Manufacturing Financing Partnership Facility backed by $20 million from Japan, $1.6 million from the United Kingdom and $500 million memoranda from Korea Eximbank and K‑SURE. The platform aims to move Asian economies from raw‑material exporters...
Can Trump’s “Project Freedom” Reopen Hormuz?
The U.S. has launched “Project Freedom,” a naval initiative aimed at re‑establishing commercial traffic through the Strait of Hormuz after recent Iranian disruptions. While the operation includes carrier strike groups and escort vessels, the strait is not yet fully reopened...
Mubadala and Tubacex Activate $200 M TBX Nexxia Joint Venture in Abu Dhabi
Mubadala Investment Company and Tubacex Group have officially launched TBX Nexxia, a $200 million joint venture in Abu Dhabi that brings advanced corrosion‑resistant alloy (CRA) oil‑country tubular goods (OCTG) manufacturing onshore. The facility, backed by ADNOC, marks the first regional platform of...
New Tech Platform From Penske Logistics Provides Unified View of Customers’ Logistics Network
Penske Logistics launched Supply Chain Insight, a cloud‑based platform that gives customers a single, real‑time view of their transportation and warehouse networks. The solution pulls data from internal systems as well as external carriers, warehouses and partners, displaying routes, load...
Space’s Missing Half
Geography remains the last major bottleneck in global logistics, despite decades of cost‑cutting innovations like containerization, digital supply chains, and air freight. While reusable rockets have dramatically lowered launch costs, the industry still lacks a scalable, reliable way to bring...
The Future of Sustainable Fleets: Electric, Hydrogen, and AI Transformations in 2026
The seventh State of Sustainable Fleets report shows U.S. transportation firms scrambling amid regulatory uncertainty, fuel‑price volatility, and the loss of federal EV incentives. Diesel remains dominant but registrations fell 16% YoY, while 38% of fleets are adopting efficiency technologies...
FourKites Launches Agentic Ocean Booking Platform
FourKites unveiled Booking Connect for Ocean, the first fully agentic ocean freight booking platform integrated into its Intelligent Control Tower. The solution automates contract ingestion, carrier selection, documentation, and exception handling, eliminating the manual labor traditionally outsourced to brokers. By...
Australia and Japan Expand Ties with Focus on Economic Security
Australian Prime Minister Anthony Albanese and Japanese Prime Minister Fumio Kishida pledged on May 4, 2026 to deepen cooperation on economic security. The bilateral agenda centers on building resilient supply chains for energy, critical minerals, food and manufactured goods. Both governments cited...
Qatar Extends Force Majeure on LNG Supply Through Mid-June
QatarEnergy has extended the force majeure on its LNG deliveries until mid‑June because the Strait of Hormuz remains almost entirely closed to tanker traffic. The suspension follows earlier force majeure notices issued after the Iran‑Israel conflict escalated in February and...
NTCSA, IDC Seek to Catalyse Localisation on Back of Big Grid Roll-Out
South Africa’s National Transmission Company (NTCSA) and the state‑owned Industrial Development Corporation (IDC) have signed an MOU to provide financing to verified local suppliers and contractors for the Transmission Development Plan (TDP). The TDP envisions 14,500 km of new power lines...
Commission Blocks EU Funding for Huawei Solar Tech
The European Commission announced it will block EU funding for solar‑panel inverters supplied by high‑risk vendors such as China’s Huawei. Guidance will restrict the use of EU money on projects that rely on these components, though existing projects can apply...
Petty: A Legendary Star
Mari Roberts, senior vice president of North American supply chain COEs at PepsiCo, has spent 26 years building the company’s private‑fleet capability while championing the Certified Transportation Professional (CTP) credential. Her 16‑year tenure as a faculty member of the Private...
Knutsen NYK Venture Working with Var Energi on New Project for CO2 Carriers
Knutsen Group and Japan’s NYK have created the joint venture Knutsen NYK Carbon Carriers (KNCC) to develop a dedicated fleet of CO₂ carriers. KNCC announced a cooperation with Norway’s Var Energi and Aker Solutions to design an integrated CO₂ transportation...
Amazon Opens Its Supply Chain Network to Outside Businesses
Amazon announced Amazon Supply Chain Services (ASCS), a new offering that lets any business tap into the same logistics network that powers Amazon’s own retail operations. Early adopters include Procter & Gamble, 3M, Lands’ End, and American Eagle Outfitters, which...
International Business Briefs | Amazon Opens Global Logistics Network to Third-Party Companies
Amazon announced Amazon Supply Chain Services, letting external firms tap its cargo fleet of over 100 planes and extensive warehouse network, a move that could pressure FedEx and UPS. The European Commission recommended banning Huawei and ZTE equipment, escalating cyber‑security...
Caterpillar and the Supply Chain Signal Behind Heavy Equipment Demand
Caterpillar reported first‑quarter 2026 sales of $17.4 billion, a 22% year‑over‑year rise, and adjusted earnings of $5.54 per share. The Power & Energy segment contributed $7 billion, also up 22%, as demand from data‑center and grid‑expansion projects surged. A record backlog and...
Reshoring: Despite Investments, Tariffs Imports Still Rise
According to Kearney’s 2026 Reshoring Index, U.S. imports of manufactured goods from Asian low‑cost countries rose to a four‑year high despite record investment and tariff measures. Direct imports from mainland China fell below 10% of total, losing $135 billion, while the...
Two US Flag Ships Exit Gulf via Hormuz
🚨2 US FLAG SHIPS OUT🚨 Last night @CENTCOM accomplished several goals. 1️⃣They transited and are operating Burke-class destroyers in the Perisan/Arabian Gulf 2️⃣Two of the Five US flag ships were able to depart the Gulf via the Strait of Hormuz. 3️⃣This was part of...
Sang Yi Appointed President and CEO of AAPA Seaports
The former Deputy Administrator of @DOTMARAD, Sang Yi, was just named as President and CEO of @AAPASeaports. https://t.co/0aoWXgQCls
Premier Directs Ministries to Assist Shipping Companies
Premier Cho Jung‑tai ordered ministries to assist Taiwanese shipping firms whose vessels are stranded amid the Iran‑U.S. blockade of the Strait of Hormuz. Eight Taiwanese ships are among roughly 1,600 global vessels stuck, prompting the Ministry of Transportation and Communications...
Trump May Falsely Claim Hormuz Open, Misleading Many
There will come a day soon, when Trump will declare that the Strait of Hormuz is actually fully open and ships are transiting like before the war, when in fact, nothing will have changed. Some in the world may continue to...
Deal’s Math Doesn’t Add up, Puzzling the Numbers
I was wondering how the math worked as well, the deal makes no sense. https://t.co/lC21Qbz9Je
Memory Shortage and Cost Surge Push Enterprises Toward the Cloud
Enterprises are accelerating cloud migration as memory component prices soar and supply lags, a trend highlighted by Amazon CEO Andy Jassy during the Q1 2026 earnings call. Hyperscalers reported strong growth—Google Cloud up 63%, AWS 28%, Azure 40% year‑over‑year—driven by...
Trump’s Gulf Blockade Turns Allies Into Adversaries
My take on Pres. Trump turning FRIENDS in the Gulf into ENEMIES with @MarioNawfal: "With the US blockade of the Strait of Hormuz, members of the Gulf Cooperation Council can no longer export their oil. As a result, the US blockade is...
Tariffs, War, and Anger Spark Massive Aluminum Self‑Sabotage
Sky-high aluminum tariffs + a war that knocks out Middle Eastern aluminum supplies + pissing off one of the world's largest aluminum suppliers (and your nextdoor neighbor) = inarguably one of the biggest industrial own-goals in recent memory https://t.co/dgPngPBWuE
MSC Adds Zarzis to Libya Service
MSC Mediterranean Shipping Company has added the Tunisian port of Zarzis to its Italy‑North Africa Libya Service, marking the first regular container call at the location. The revised rotation will run Gioia Tauro, Misurata, Tripoli, Zarzis and back to Gioia...
US Ships Depart Hormuz, IRGC Response Remains Unclear
US Central Command. Two US flagged ships have left Hormuz. Three more to go. And the IRGC?
India Accelerates Trade Liberalization with New FTAs and Tariff Cuts
"India this week signed the latest in what’s been a run of rapid-fire free trade agreements.... India also has unilaterally cut tariffs on some key inputs and rolled back QCOs in sectors including steel, textiles and chemicals." https://t.co/AVxgDPYywi https://t.co/oZpPAr08RK
The Iran War Approaches a Tipping Point
Peter Zeihan warns that Iran's oil storage, estimated at 30‑35 million barrels, is set to hit capacity by week’s end, forcing the country to shut in wells. The forced shutdown threatens permanent damage to Iran’s production capacity and long‑term revenue. As...
US Blockade Proves More Theater Than Effective Operation
The US blockade is a sieve. Another Iranian tanker has gotten through If it were one, it would be noise But it seems to be more the signal The blockade is serious theater but not a serious operation https://t.co/Tt24Zz0DYp
Seaborne Trade Routes Lengthen 10% Amid Geopolitical Turmoil
Average distance of global seaborne trade has increased by 10% during the disruptive 2020s. War and geopolitics. And as the supply of maritime bunker fuel is challenged by what is happening in the Strait of Hormuz. https://t.co/DzfGZ69ZAF
Malaysia’s MIDA and MARA Partner to Strengthen Industry Talent Pipeline and Local Supply Chains
Malaysia’s Investment Development Authority (MIDA) and Majlis Amanah Rakyat (MARA) signed a partnership on May 4, 2026 to create a demand‑driven talent pipeline and boost local supplier participation in multinational supply chains. The core of the deal is the PRIME...
US Tariffs Cripple German, Italian Auto Exports, Sweden Holds
The threat of higher US tariffs on imports of vehicles from the EU hits Germany (blue) and Italy (purple) hard. Both have already seen the US fall sharply as an export market since the start of 2025. Others, including Sweden...
The Single Best Industrial Trade I’ve Found Since FIX — And Wall Street Hasn’t Caught On Yet
A German conglomerate’s shutdown of two grain‑oriented electrical steel (GOES) plants has exposed a global supply bottleneck that now hinges on a single U.S. producer. U.S. transformer demand has surged 116% since 2019, fueled by AI data centers, reshoring, and...
US Approves $5bn PATRIOT and APKWS Systems Sale to Qatar
The U.S. State Department approved two foreign‑military sales to Qatar worth over $5 billion. The package includes $4.01 bn for Patriot air‑defence replenishment, spare parts and logistics, and $992 m for 10,000 APKWS‑II precision rocket rounds with associated launchers and support. An emergency...
Knutsen NYK Carbon Carriers Moves Deeper Into North Sea CO2 Shipping Push
Knutsen NYK Carbon Carriers (KNCC) has signed an MoU with Aker Solutions and Vår Energi CCS to develop the Trudvang CCS project on the Norwegian Continental Shelf. The partnership aims to create an integrated CO₂ value chain that links European...
SHOWDOWN Set: US Announces Escorts; Iran Says NO US Navy in Strait | Rapid Read 4 May 2026
The United States unveiled Project Freedom, authorizing naval escorts for commercial vessels stranded in the Persian Gulf and aiming to secure the Strait of Hormuz. Iran immediately rejected any U.S. Navy presence, threatening retaliation after projectile attacks struck a tanker...
"Collaboration with Suppliers and Customers Is the only Way to Meaningfully Reduce Impact"
Best Fresh Group, a Dutch fresh‑produce trader, found that only 4% of its carbon footprint originates from its own operations, while 96% comes from the broader supply chain. The company quantified emissions across purchased products (40%), transport (30%) and processing/packaging...
Drugmaker AbbVie Chooses North Carolina for $1.4B Manufacturing Campus
AbbVie announced a $1.4 billion investment to build a 185‑acre manufacturing campus in Durham, North Carolina, targeting its immunology, neuroscience and oncology portfolios. The site will create 734 jobs over four years, incorporate AI‑driven production tools, and be operational by the...
Taiwan's Manufacturing Activity Improves in April
Taiwan's manufacturing PMI rose to 60.3 in April, marking the seventh straight month of expansion, buoyed by strong global demand for semiconductors and AI‑related devices. The service sector’s non‑manufacturing index also climbed to 58.3, extending a 14‑month growth streak. All...