Supply chain interrupted: Here’s everything you can’t get right nowJuly 31, 2021
Here’s what’s hard to get, why, and for how long, according to CNN Business’ reporters.
The bank said it expects new car inventories to fall further in August, to around 1 million vehicles, before beginning to steadily increase in September. The firm forecasts new car prices will likely continue to rise over the next few months, peaking around 6% above their pre-pandemic level toward the end of this year.
The problem stems from the global shortage of computer chips, which control dozens of functions in all modern vehicles.
Your morning cup of joe might soon get more expensive because of supply shortages recently caused by bad weather in Brazil.
The frost has driven Arabica coffee prices up this week. But prices were rising even before the cold snap for a number of reasons, including Brazil’s dry weather, protests in Colombia and the increase in shipping container costs, among other factors.
“If these prices stay elevated, then they will have to be passed on to consumers,” said Carlos Mera, who heads up Rabobank’s agri commodities markets team and is an expert on coffee prices. “But big companies have ways to keep prices relatively stable for customers,” he added.
“While I expect shortages to bottom out in the second half [of 2021], it will take another one to two years before the industry is able to completely catch up with demand,” CEO Patrick Gelsinger recently said.
The issue is most pronounced at airports that are near popular vacation destinations, including some in Idaho, Montana, Nevada, Utah and Wyoming.