The challenges of logistics #1: A political challenge

In recent years, the world of logistics has undergone constant change and has been faced with a host of challenges. 

In this series of 6 articles, we will explore the analysis of the issues and their impact on businesses. #1

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A political challenge

Since the beginning of the war in Ukraine in February 2022, the logistics sector has been facing major disruption on a global scale. The global supply chain*, already facing an uncertain and tense situation, is now under even greater threat.

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Global tensions

Europe's support for Ukraine has undeniable logistical consequences. Its access to certain resources and supplies, such as energy, raw materials like metal, and food products from these regions, is becoming limited.

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This is because these countries play a crucial role in the supply chain in the energy, agri-food, and industrial sectors. What's more, a significant proportion of the world's logistics flows pass through these countries. This situation is forcing companies to rethink their supply chains over the long term, focusing in particular on local suppliers. 

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However, growing tensions between China and the United States, particularly over Taiwan, are also having a worrying impact on the global supply chain. The blockage of one of the world's largest ports is causing numerous shortages and delays in supplies. Chinese production sites and logistics circuits are also affected by these persistent blockages. 

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The Brexit 

In addition, as a result of Brexit, the flow of goods between production plants and warehouses is subject to new regulations. All European countries have had to adapt their legislation, particularly in the area of logistics. Hauliers have been forced to comply with customs regulations, which have been made easier thanks to the Delta G IT system. This unified online service for customs clearance has avoided delays and blockages of trucks at borders, particularly with Great Britain. 

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The many ongoing political situations continue to drag on, putting pressure on European businesses. Faced with these challenges, they are forced to seek alternative solutions for their production and supply activities.

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*Supply Chain: The various stages in the supply chain.

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