It seems there will be little let-up in supply chain disruption in 2022 for UK manufacturers – and many are focusing their investments on digital transformation accordingly.
The year began well enough for the industry, with domestic demand rising, raw material shortages falling and delivery delays in abatement.
But Russia’s invasion of Ukraine in March has already brought with it additional headwinds - a surge in energy costs is the most obvious for heavy-industry companies, but Russia is also a large exporter of crude oil, as well as commodities such as wheat and metals used in the aerospace, automotive and electronics industries, among others.
Sanctions and export restrictions are a valid, justifiable and necessary response to the devastating loss of human life and vast displacement of people that the conflict has triggered – but these penalties will also send additional shockwaves through the global supply network.
Are UK manufacturers prepared? Certainly...