Logistics Matters with DC VELOCITY
Guest: Jackson Wood of Descartes on What War in the Middle East Means for Supply Chains; Most Warehouses Lack Needed Agility; Is Trucking Ready for a Recovery?
Logistics Matters with DC VELOCITY
•March 6, 2026•23 min
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Logistics Matters with DC VELOCITY•Mar 6, 2026
Why It Matters
Understanding the ripple effects of geopolitical conflicts on logistics helps businesses anticipate cost spikes and capacity constraints, crucial for maintaining service levels. As supply chain disruptions become more frequent, the episode underscores the urgency of adopting adaptable automation and diversification to safeguard operations against future shocks.
Key Takeaways
- •Iran conflict triggers shipping rate volatility and capacity constraints.
- •Global supply chains remain resilient despite localized geopolitical shocks.
- •Over 70% of warehouses lack adaptable automation, incurring extra costs.
- •Diversification and flexible warehousing reduce risk amid persistent volatility.
- •Class 8 truck orders surge, hinting at early trucking recovery.
Pulse Analysis
The sudden escalation of hostilities in Iran has sent ripples through global logistics, prompting immediate concerns over maritime routes, oil shipments, and freight pricing. Experts from Descartes highlighted that while short‑term rate spikes and capacity squeezes are inevitable, the broader supply‑chain network retains a remarkable degree of resilience built over six years of pandemic‑driven volatility. AI‑enhanced visibility tools are helping shippers anticipate bottlenecks, but the underlying lesson is that geopolitical shocks now behave like extensions of the post‑COVID volatility cycle.
A separate but related challenge surfaced in warehouse operations, where recent Lucas Systems research revealed that more than three‑quarters of U.S. facilities rely on rigid automation unable to absorb unexpected disruptions. Executives reported 11‑25% higher operating costs when hardware or software failed to adapt, underscoring the financial penalty of inflexibility. The study advocates a shift toward self‑optimizing systems—autonomous mobile robots, dynamic orchestration layers, and modular storage solutions—to restore agility and protect margins amid an era of persistent uncertainty.
On the transportation front, the trucking sector appears to be emerging from a three‑year freight recession. FTR data shows Class 8 truck orders jumping 47% month‑over‑month and 160% year‑over‑year in February, the strongest surge since late‑2022. Analysts interpret this as a sign that fleet planners are committing to a structured replacement cycle, suggesting a nascent recovery despite lingering risks from tariffs, financing costs, and geopolitical tensions. Companies that align inventory strategies with this upward trend can better position themselves for a stable, profit‑driven freight market in the coming years.
Episode Description
Our guest on this week's episode is Jackson Wood, director of industry strategy, global trade intelligence at Descartes. The United States is now at war with Iran in military actions that have now spread throughout the Middle East. With that part of the world being in major disruption, what are the implications for global transportation, ships moving oil and gas, and just supply chains in general? In an interview with Ben Ames, our guest offers some insights.
Having agility within our supply chains is a crucial way to prepare for unexpected events, whether that is a pandemic or now with the new war in the Middle East. Yet, Victoria Kickham reports on some new research that shows agility is something that many warehouses still struggle to achieve.
There are some signs that the long-term freight recession in the trucking sector may be coming to an end. Ben Ames reports on some new statistics that point to some light at the end of the tunnel for carriers.
Supply Chain Xchange also offers a podcast series called Supply Chain in the Fast Lane. It is co-produced with the Council of Supply Chain Management Professionals. The latest series is now available on Top Threats to our Supply Chains. It covers topics including Geopolitical Risks, Economic Instability, Cybersecurity Risks, Threats to energy and electric grids; Supplier Risks, and Transportation Disruptions Go to your favorite podcast platform to subscribe and to listen to past and future episodes. The podcast is also available at www.thescxchange.com.
Articles and resources mentioned in this episode:
Decartes
Warehouses lack agility and are paying the price
FTR: Strong February truck orders suggest freight sector recovery
Visit DC Velocity
Visit Supply Chain Xchange
Listen to CSCMP and Supply Chain Xchange's Supply Chain in the Fast Lane podcast
Send feedback about this podcast to podcast@agilebme.com
This podcast episode is sponsored by: Storage Solutions
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