Paywalled
Even the article is demand slumped.
Let’s see how that ‘Just In Time’ supply chain works out, shall we?
You’d think the world would have learned that lesson during and after COVID lockdowns.
Just in time supply chains are too cost effective for alternatives methods to compete.
They’re cost effective as long as nothing goes wrong. Remember the knock-on effects of one ship blocking the Suez Canal?
Ugh. This is gonna suck.
Whoa whoa whoa, on demand manufacturing allows us to be agile and utilize LEAN manufacturing to provide maximum value to our shareholders by cutting wages, cutting positions and not investing in a single fuckin lick of infrastructure.
The Donald Slump ^tm
The Donald Slump. Making Recession Great again
You should really file it. Could sell stuff with it.
If there’s a lack of demand, that should drive prices down. Probably not enough to cover tariffs.
Prices can’t go below the cost of production and transport.
A lot of goods are on quite small margins. When the tariffs are bigger than the margin the product becomes uneconomic to ship to the US. This is what you’re seeing. There’s less demand for shipping because companies have halted shipments to the US.
Unless they can no longer afford to warehouse them.
US isn’t the only market. Likely to see price drops in Europe when supply will outstrip demand, but still maintain a better margin that the US.
At least until production rates adjust.
Coming to an empty shelf near you!
