Global conflicts and political unrest can have far-reaching effects on international shipping and supply chains. In this blog, we explore how wars, trade tensions, and port disruptions impact Australian importers and exporters, what delays look like in practice, and how businesses can plan proactively to minimise risk.
The Ripple Effect of Global Unrest
Global unrest and conflicts have a direct impact on the flow of goods, creating delays and uncertainty for businesses everywhere. For Australian importers and exporters, even minor disruptions at major ports or along trade routes can have a ripple effect across supply chains.
Extended Delays at Major Ports
Zoran from ISS Shipping highlights the magnitude of these delays. “In-transit delays at major seaports have grown dramatically. What would traditionally take a week to be reloaded onto the next vessel can now take four or five weeks,” he explains. These extended timelines put pressure on companies with tight deadlines and highlight the limits of what forwarders can control.
Impact on Trade Volumes and Sourcing Decisions
The effects of geopolitical conflicts go beyond just timing. They also influence trade volumes and sourcing decisions. Businesses may delay shipments, reroute cargo, or reconsider suppliers in affected regions. Zoran notes, “The trade war and other conflicts have affected the volume of cargo coming in and out of Australia, particularly to the US.” Companies that cannot adapt quickly risk costly disruptions and missed delivery windows.
The Importance of Proactive Planning
Proactive planning is more important than ever. Companies that build contingencies into their supply chains, diversify sourcing options, and keep close communication with their logistics partners are better equipped to weather instability. Zoran emphasises, “Planning shipments well in advance and building in contingencies is more vital than ever.” Forwarders like ISS Shipping work closely with clients to ensure these strategies are implemented effectively.
Air Freight as a Critical Alternative
Air freight has also emerged as a critical tool when sea freight is delayed. “With sea freight taking longer, customers have needed to hit deadlines, so they’ve looked at air freight options,” Zoran explains. Balancing cost and urgency, businesses are increasingly combining air and sea shipments to maintain reliability without overspending.
Navigating the Broader Supply Chain Ecosystem
Geopolitical tensions also affect the broader supply chain ecosystem, including customs processing, transhipment schedules, and port operations. Forwarders need to stay informed about global developments, advise clients on realistic timelines, and adjust plans quickly when situations change. Zoran underlines the importance of vigilance: “Everything is busy, busy, busy. If you need your shipments to move as soon as possible, get on top of it.”
Reducing Risk Through Flexibility and Communication
By understanding the impact of global conflicts and integrating flexible strategies, Australian businesses can reduce the risk of disruptions and maintain strong customer service. The key is foresight, diversification, and constant communication with logistics partners who understand the complexities of international shipping.
