THE WHAT? Those hoping that supply chains woes would become a thing of the past in 2024 are about to be sorely disappointed. Sun Chemical has announced that it will usher in a freight surcharge as a result of what it is calling the ‘Red Sea Crisis’ and has warned that raw material shortages may ensue.
THE DETAILS The inks supplier said that around 30 percent of the world’s container trade is shipped through the Suez Canal and Red Sea and the route has been severely impacted since November. Vessels departing from China, India and the rest of the Far East are affected, with journeys taking on average 20 days longer on each leg.
THE WHY? Several shipments are being re-routed via the Cape of Good Hope, significantly increasing the distance travelled and adding further costs and time, Sun Chemical said.