The end of ‘just in time’? Asia rejigs supply chains post-Hormuz

AI Summary

Asia is reevaluating supply chains following multiple crises including Covid factory closures, Ukraine conflict affecting grain exports, and a US-Israel war on Iran. These disruptions signal an end to 'just in time' logistics and a shift toward more resilient trade models.

How many crises does it take to change the way the world trades? For Asia, the answer appears to be three. First Covid closed the factories that fed the logistics networks, then Russia’s invasion of Ukraine choked off Black Sea grain exports and sent energy prices spiralling. Now, the US-Israel war on Iran may have hammered the final nail in the coffin of “just in time” supply chains that some economists say are no longer fit for purpose. “Taken together, they show that serious disruption is now...