International Port Dependencies and Resilience to Supply Chain Disruptions
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2023-09-01
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Edition:Final Research Report
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Abstract:The COVID-19 pandemic caused unprecedented disruptions in global supply chains and port operations, leading to congestion, delays, and container shortages. Governments implemented containment measures, affecting social and economic activity. Ports faced similar significant challenges due to shifts in demand, labor shortages, and supply chain bottlenecks. E-commerce surge and disruptions like the Suez Canal blockage further intensified pressures on ports. The pandemic's impact, coupled with other events, exacerbated challenges for ports and supply chains, triggering inflationary pressures. This research sought to investigate the impact of COVID-19 and other events on port efficiency and the global supply chain at major ports such as the Port of Long Beach, Port of New York and New Jersey, Port of Rotterdam, and Port of Shanghai. The objectives of the research included quantifying shipping volume, identifying trends, analyzing factors, and enhancing understanding for policymakers and stakeholders in building resilient supply chains. The primary finding of the research is that congestion in U.S. ports may have been attributed to consumer spending and unprecedented container throughput which overwhelmed the ports. In contrast, the Port of Rotterdam and Port of Shanghai maintained vessel dwell times more consistent with pre-Covid, suggesting process efficiency and resilience. The research results also highlight the vulnerability of U.S. ports to changes in consumer spending, leading to an influx of goods and overloaded ports, reducing efficiency and increasing dwell times.
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