May It Pass
2020 has been a turbulent year so far, and we have only just emerged from the first quarter.
One can only hope that the Covid-19 outbreak dissipates quickly as warmer months approach in the Western hemisphere, at least. This should bring greater stability to the crude and base oil businesses, as well as financial markets around the world. It goes without saying that we also wish all those who are suffering a speedy recovery.
It’s hard to find positives amid these dark times at the moment, but it might be an opportunity to look at the fragility of globalization. On one hand, it has brought innumerable benefits to millions of people around the world, creating an environment for investment between countries, a free flow of technology and the free movement of labor.
Yet its downsides have been highlighted by this epidemic, especially in terms of supply chains, which are made possible by the upsides. The world’s largest 1,000 companies operate more than 12,000 facilities in quarantined areas of China, of which 2,730 are automotive, industrial or heavy machinery, according to data gathered by Resilinc, a supply chain and risk assessment firm based in California.
In this globalized world, global messaging may be a first step to diversifying supply chain risk and finding an audience off the beaten path. There may well be a service provider or customer tucked away in Africa or Latin America. It’s time to reach out, not withdraw.
— Howard Briskin
HBriskin@LubesnGreases.com