2023-01-12-莱坊-Future_Gazing_2023_15页_12mb

Future Gazing Summary

Core Content

This report explores the evolving landscape of global supply chains, focusing on resilience, reshoring, and the First Mile logistics sector. It highlights the increasing importance of localised production and logistics infrastructure in response to global disruptions, geopolitical tensions, and environmental concerns.

Main Points

• Supply Chain Disruptions: The global supply chain has faced significant disruptions due to the pandemic, the war in Ukraine, and other geopolitical events, leading to increased volatility in freight costs and longer lead times.

• Resilience and Reconfiguration: Companies are re-evaluating their supply chain strategies, seeking to improve resilience by shortening supply chains, diversifying supplier bases, and moving production closer to home.

• First Mile Logistics: First Mile logistics involves the transportation of goods from manufacturing hubs to warehouses or distribution centers. It plays a crucial role in ensuring supply chain stability and responsiveness.

• Infrastructure and Technology: The report underscores the importance of infrastructure investment, including roads, rail, and ports, in enhancing supply chain efficiency and resilience. Emerging technologies like EV charging, hydrogen distribution, and 5G are reshaping logistics and industrial demands.

• Reshoring Misconceptions: Reshoring is not merely about bringing back low-skilled, low-paid industries but about rethinking global supply chains to better align with current economic and environmental realities.

• Port-Centric Supply Chains: Ports are central to supply chain operations and can support both distribution and manufacturing. A scoring model has been developed to assess UK ports based on metrics like capacity, export and import growth, and skilled labor availability.

• Liverpool as a Top Port: Liverpool ranks highest in the UK port scoring model, with strong performance in export and import growth, logistics market size, and Freeport status.

• Strategic Rail Freight Interchanges (SRFIs): These are emerging as key logistics nodes, especially with the UK's commitment to reducing carbon emissions and increasing rail freight use.

• Energy Infrastructure: Energy security and the green energy transition are driving new infrastructure demands, particularly in power and logistics. Locations with latent power supply and available land are becoming more attractive for manufacturing and logistics.

• Investment Opportunities: The report identifies the potential for investment in First Mile logistics assets, which are increasingly seen as stable and resilient due to their strategic role in supply chains.

Key Information

• Resilience is a top priority for companies due to the increased frequency and severity of supply chain disruptions.

• First Mile logistics is critical for building secure and responsive supply chains, especially in sectors like pharmaceuticals, automotive, and technology.

• Infrastructure investment is essential to support the growth of manufacturing and logistics, particularly in rail and port-centric operations.

• Liverpool is highlighted as the most promising port in the UK for First Mile logistics due to its strong export and import growth, logistics market size, and Freeport status.

• Strategic Rail Freight Interchanges (SRFIs) can help reduce carbon emissions and improve supply chain efficiency by connecting inland areas to key ports.

• Energy infrastructure is becoming a vital component of logistics and manufacturing, with the rise of green technologies and the need for energy security.

• Reshoring is not a return to the past but a reconfiguration of supply chains to better align with current economic and environmental goals.

• Investors are increasingly interested in First Mile logistics due to its potential for long-term stability and returns, supported by structural tailwinds such as e-commerce growth and technological advancements.

Conclusion

As global economic growth slows and geopolitical tensions rise, the need for resilient, diversified, and locally-oriented supply chains is more pressing than ever. The UK has the potential to benefit from reshoring and the development of First Mile logistics infrastructure, particularly in key locations like Liverpool and through initiatives such as Freeports. The logistics sector is poised for significant investment and growth, driven by the need for efficiency, sustainability, and resilience.