Supply Chains Realign as China Loses ShareThe tariffs that were imposed have transformed global supply chains. The share of U.S. supplier volume from China, Hong Kong, and Korea has dropped from 90% to 50% over the past decade. This shift began during the first wave of tariffs in 2018 and has continued to accelerate since then.Moreover, Vietnam, Indonesia, Thailand, and India have emerged as the biggest winners. These countries now manage a growing share of U.S.-bound production. According to Wells Fargo, s ...

NEW YORK, NY / ACCESS Newswire / November 28, 2025 / For decades, global supply chains operated on a simple assumption. If the paperwork looked right, the shipment must be legitimate. ...

RT Bloomberg New Economy (@BBGNewEconomy)U.S. imports from Asia haven’t slowed — they’ve shifted. As China’s share declines, shipments from Taiwan and Southeast Asia are taking over. We take a closer look in the #ChartoftheWeek.For more insights on the forces reshaping global supply chains, tune into the #BloombergNewEconomy livestream starting 11/19 at 8:00 AM SGT.⏯️https://t.co/ONy6DyUDbF ...

Core Insights - Most technologies disrupt a single sector, but a rare few create an entirely new layer that industries can integrate into [1] Group 1 - Technologies that disrupt a single sector are common, indicating a typical pattern of innovation [1] - A select few technologies have the potential to establish a new layer, which can be utilized across various industries [1]

Geopolitical & Economic Concerns - The US government aims to help China, but will not tolerate economic coercion that slows the global economy; such actions will hurt China the most [1] - The US and its allies will not be commanded or controlled by China's command and control economy [2] - China's export controls are unacceptable to the entire world [2] - China cannot be trusted with the global supply chain [4] - China is fueling Russia's war, highlighting the risk of dependence on China for rare earths and other goods [5] Trade & Tariffs - The US is currently in a 90-day roll on tariffs [5] - A longer role in return for a delay is possible, subject to negotiations before the leaders meet in Korea [6] Supply Chain Issues - Some US auto companies reported a slowdown in magnets, which the Chinese attributed to a holiday [3] - The slowdown in magnets is a clear sign to US allies that collaboration is essential [4]

Global Supply Chains - Europe is not in a position to dominate global supply chains [1] - The United States is not an easy partner to work with [1] - Cooperation between Europe and the United States is necessary [1] Geopolitics - Geoffrey Gertz made the comments at BloombergTech's Opening Night debate [1]

Core Insights - Prologis convened leaders from business, government, and academia at the GROUNDBREAKERS 2025 forum to discuss the intersection of energy reliability and AI in global supply chains [1][2] - U.S. Secretary of the Interior Doug Burgum emphasized the importance of energy abundance for technological advancement, particularly in AI, and the need for reliable and affordable energy to foster economic growth [2] - Prologis CEO Hamid R. Moghadam highlighted the necessity of integrating both renewable and traditional energy sources to meet future demands [2] Panel Highlights - The panel on Global Trade featured discussions on the importance of resilience and sustainability in supply chains, with MIT's Yossi Sheffi noting that building resilience incurs costs similar to purchasing insurance [3] - The Future of Energy panel addressed energy reliability as a critical concern for global supply chain executives, advocating for greater integration of infrastructure and energy decision-making [4] - The Delivery & Autonomy panel discussed the impact of autonomous systems on logistics, stressing the need for competitive network readiness to leverage American innovation [4] - A session on Food Systems emphasized the need for agility in food production to adapt to changing consumer demands, with industry leaders noting that large companies often lack the nimbleness required [4] Upcoming Events - The 2028 Summer Olympic Games were highlighted as a significant logistical challenge, with expectations that it will be the largest in Olympic history [5] Space and Defense - A discussion on space and defense underscored the importance of innovation and collaboration in enhancing resilience and security for commerce on Earth [6][7] Additional Information - Prologis positions itself as a leader in logistics, focusing on creating intelligent infrastructure that connects digital and physical worlds, promoting agile supply chains and clean energy solutions [8]

Summary of Key Points from the Conference Call Industry Overview - The report focuses on the impact of tariffs on global supply chains, particularly freight flows from China to the USA, highlighting ongoing volatility and potential near-term weaknesses in imports [1][2][4]. Core Observations - Laden vessels from China to the USA decreased by 5% sequentially and 21% year-over-year (YoY) [3][8]. - Expected imports into the Port of Los Angeles are projected to decline by 15% in the upcoming week, with a further anticipated drop of 31% two weeks later [3][36]. - Rail intermodal volumes on the West Coast saw a 1% YoY decline, indicating a potential shift in import trends [3][43]. - Ocean container rates fell by 10% sequentially and are down 76% YoY, reflecting significant pressure on shipping costs [3][32]. Tariff Impact and Future Projections - The uncertainty surrounding tariffs may lead shippers and retailers to delay orders, potentially resulting in an underwhelming peak season for freight volumes and revenues [5][6]. - A potential re-stock event in 2026 could occur if consumer spending remains resilient during the 2025 holiday season, which would positively impact freight flows and margins [5][6]. Stock Recommendations - The report suggests that transport stocks may face downward pressure in the second half of 2025 if consumer demand does not increase [6][7]. - Freight forwarders like EXPD and CHRW are expected to benefit from volatility and potential surges in demand due to tariff-related delays [6][7]. - Parcel services (UPS and FDX) are also positioned to capitalize on increased demand for air freight during this period [6][7]. Additional Insights - The report emphasizes the importance of analyzing high-frequency data to understand trade volumes and pricing trends, cautioning against drawing conclusions from short-term fluctuations [2][8]. - The Logistics Managers Index indicates that upstream inventories are expanding while downstream retail inventories are contracting, suggesting a potential mismatch in supply chain dynamics [70][71]. - The Supply Chain Congestion Tracker indicates that overall fluidity levels are returning to pre-COVID baselines, reflecting improvements in logistics [48][50]. Conclusion - The ongoing volatility in freight flows from China to the USA, influenced by tariff policies and consumer demand, presents both risks and opportunities for investors in the transport sector. The potential for a re-stock event in 2026 could provide a favorable outlook if consumer resilience persists [5][6].

Summary of Key Points from the Conference Call Industry Overview - The report focuses on the **transportation industry**, specifically the impact of **US tariffs** on freight flows from **China to the USA** [1][2][5]. Core Observations - **Laden vessels** from China to the USA decreased by **4% sequentially** and **19% year-over-year (YoY)**, indicating a softening trend that may persist through mid-August based on data from the **Port of Los Angeles** [1][5]. - The **tariff-related impacts** are still unfolding, and the upcoming weeks are critical for understanding shipper reactions as the peak season approaches [1][6]. - **Weekly data** can be volatile, but analyzing it over multiple weeks can reveal trends related to tariffs [3][9]. Freight Flow Data - **Container rates** have dropped by **8% sequentially** and are under significant pressure, down **67% YoY** [5][29]. - **Rail intermodal volumes** on the West Coast increased by **1% YoY**, marking the fifth consecutive week of positive growth, suggesting a recovery in logistics following previous disruptions [5][40]. - Planned **TEUs (Twenty-foot Equivalent Units)** into the Port of Los Angeles are expected to drop by **3%** in the near term, with a potential **20% increase** two weeks later [5][33]. Future Projections - The **2025 trade scenario** suggests that shippers may delay orders due to uncertainty, which could lead to an underwhelming peak season in terms of volume and revenue [6]. - If a **re-stock event** occurs in 2026, it could significantly benefit freight flows and margins, especially if consumer spending remains strong during the holiday season [6]. Stock Recommendations - **Transport stocks** may face downward pressure in the second half of 2025 if consumer demand does not increase [8]. - **Freight forwarders** like **EXPD** and **CHRW** are expected to benefit from volatility and potential surges in demand due to tariff pauses [8]. - **Parcel companies** such as **UPS** and **FDX** are also positioned to gain from increased demand for air freight during peak seasons [8]. Additional Insights - The **Logistics Managers Index** indicates that upstream inventories are expanding, while downstream inventories are contracting, reflecting a complex inventory landscape [69]. - The **Supply Chain Congestion Tracker** remains stable, suggesting fluidity in logistics comparable to pre-COVID levels [48][50]. - The **Big Three ports** (LA, Long Beach, Oakland) experienced a **5% YoY decline** in volumes but a **21% sequential increase** from May to June, indicating a recovery trend [52]. Conclusion - The transportation industry is navigating a challenging environment influenced by tariffs, consumer behavior, and inventory management. The upcoming months will be crucial for assessing the impact on freight flows and stock performance in the sector [1][6][8].

Economic Overview - China's economy remained stable despite tariffs imposed by the Trump administration [1] Trade War Impact - Manufacturers are actively adjusting to the trade war, which poses a threat to global supply chains [1] Future Outlook - The report seeks to explore the future implications of the trade war [1]