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Biggest Threats to the Global Supply Chain in 2016

Biggest Threats to the Global Supply Chain in 2016

Cargo theft is one of the largest issues that the supply chain faces at an estimated $22.6 billion. Globally, there is a wide range of challenges that the supply chain goes through and issues such as natural disasters and extreme weather events are very damaging.

According to BSI’s Supply Chain Risk Exposure Evaluation Network, here are the biggest threats to the global supply chain from 2016.

The biggest threats to the global supply chain in 2016 include:

  1.  Global cargo theft cost estimated to grow by a further $1 billion in 2016. Increased concerns in China, Germany, India, Mexico, South Africa, and United States
  2. Continued tensions in South China Sea predicted to lead to further protests and disruptions
  3. On-going conflict in Syria will continue to impact supply chains. The migrant crisis will continue to lead to port disruptions. European Union/Schengen border controls are predicted to have far-reaching impact.
  4.  As we’ve already seen this year in Brussels, Belgium, ISIS is predicted to remain a significant threat to disrupt supply chains
  5. Labor unrest in China is predicted to persist, as a slowdown in the Chinese economy continues and more jobs move to neighboring countries.
  6. Weather disruptions e.g. La Nina phenomenon
  7. Global health crises e.g. Zika and Ebola

Supply Chain Risk Management

While extreme weather disruptions are out our control, supply chain risk management teams can help prevent and solve these security issues. Looking at the increase in cargo theft and hijackings over the year, companies should be participating in international supply chain security programs to address the concerns of China, Germany, India, Mexico, South Africa, and United States.

At MEP Supply Chain, we want to help manufacturers avoid these security issues and threats but devising an overall risk mitigation plan. For more information on a Risk Management Plan, go to

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