FT: Christmas shipments rush risks deepening supply chain crisis, warns Maersk boss

THE FINANCIAL TIMES reports:

A sudden rush to order shipments for the festive period risks deepening delays and congestion across the global supply chain, the chief executive of the world’s second-largest container shipping group has warned.

Vincent Clerc, head of AP Møller-Maersk, told the Financial Times that, after “an almost vertical” increase in shipping costs in the past month amid worsening congestion at ports in Asia and the Middle East, more customers could try to ship goods much earlier than normal.

“At this stage the thing that can really make things worse for the global supply chain is this rush for the door where everybody starts to order more than they need. You get this bullwhip effect,” he added.

Clerc warned that any move by retailers to get their goods earlier would be counter-productive. “In order to prevent delays, you have more delays.”

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