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SPRING 2022

Distributor's Link Magazine Spring 2022 / Vol 45 No 2

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12<br />

THE DISTRIBUTOR’S LINK<br />

Chris Donnell<br />

Chris Donnell is the National Sales Director for Scanwell Logistics International (CHI)<br />

Inc., specializing in Supply Chain Management, Inventory Control, Logistics Sales and<br />

Management. Chris excels at selling the “Solution” to advanced program analysis and<br />

implementation. A highly ambitious and effective team leader who thrives on the challenges<br />

of this industry, Chris currently oversees a National Sales and Partnership Program consisting<br />

of more than 100 Sales executives who focus primarily on SCM and Logistics development in<br />

most vertical markets. Contact Chris at 847-228-6789 or email: chrisdonnell@scanwell.com.<br />

<strong>2022</strong> TRANSPORTATION AND<br />

SUPPLY CHAIN OUTLOOK<br />

Is it just me, or does the transportation world resemble<br />

the Bill Murray movie, “Groundhog Day” – the same<br />

struggles over and over again, day in and day out? Just when<br />

we thought there would be some sort of let up, something<br />

comes around the bend and throws us back into the fray.<br />

For most people I’ve spoken to, they all reiterated<br />

how glad they are knowing that 2021 is over, kaput, in the<br />

rear-view mirror. There was no supply chain on planet earth<br />

that was not negatively affected by Covid and the resultant<br />

turmoil it unleashed on the transportation world in 2021.<br />

From extended lead times, to extensive transportation<br />

bottlenecks; from inflated transportation costs and asinine<br />

surcharges to political unjust, all that have left an indelible<br />

mark on the global transportation world.<br />

Now the question, are we really looking forward to<br />

<strong>2022</strong> and what it will bring? Do any of you think it’s going<br />

to get any better? Well, let me highlight some things we all<br />

need to keep an eye on, things that will have a dramatic<br />

impact on the transportation market as a whole.<br />

US And China Trade Tensions<br />

Without going into who’s at fault or responsible,<br />

make no mistake about it, this will certainly have a major<br />

impact on the global supply chain and the economy of both<br />

countries, here are a few issues surrounding this topic.<br />

[a] Renewal of the Trump Tariffs<br />

[b] China’s reluctancy to fulfill their agricultural<br />

agreement to purchase 200 billion dollars’ worth of product<br />

from the US in the years 2019 and 2020. As of February<br />

18th they still are not working towards an amicable<br />

solution.<br />

[c] Territorial rights of Taiwan and Japan and the<br />

alliances between the US and those countries.<br />

CONTRIBUTOR ARTICLE<br />

[d] US Customs paying more attention to forced<br />

labor and buying from manufacturers who use this type of<br />

business practice. This focus kicked off in late 2021 and<br />

is becoming more and more of an issue, especially for the<br />

garment and textile industries (WRO).<br />

Covid Continues To Wreak Havoc On The<br />

Labor Force Globally<br />

Just look at the almost intolerable conditions the<br />

athletes in the Winter Games are going through. Many<br />

countries such as Vietnam, Thailand and others are just<br />

coming back and there are rumors that Europe is seeing a<br />

massive spike in covid related cases and deaths. Look for<br />

Covid to continue hindering the transportation world - if not<br />

directly then indirectly.<br />

We recently received word out of Vietnam that they<br />

are shutting down again and people are being forced back<br />

into their homes and back to the virtual workforce. We are<br />

also seeing portions of Ningbo and other cities go into<br />

quarantine recently. It is not any better throughout Europe.<br />

Russia And The Ukraine<br />

This dilemma currently unfolding is Europe is something<br />

to keep and eye out for. The Russians have been amassing<br />

a large troop and equipment concentration at the border of<br />

the Ukraine, this is rattling the NATO powers. Today we’re<br />

already feeling some of the impacts this stalemate has<br />

caused such as fuel and oil prices are on the rise. Oil has<br />

shot up to about $100 dollars a barrel and the impact we<br />

are seeing is everywhere petroleum and oil is used such as<br />

in plastics, gasoline prices increasing and others. Should<br />

an invasion take place the economic impact would be felt<br />

globally.<br />

CONTINUED ON PAGE 100

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