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Dec. 08, 2024 06:16PM EST
Aug. 24, 2021 09:31PM EST
Retailers charter boats to circumvent supply chain crisis, get goods from overseas
The world’s shipping chaos is pushing mega-retailers to make new investments: their own cargo ships.
Why it matters: It’s one way big companies are trying to circumvent the pandemic-fueled supply chain crisis that’s left store shelves sparse.
What’s happening: Home Depot and Walmart are among those chartering vessels in the mad dash to get stuff from overseas.
- "We have a ship that's solely going to be ours and it's just going to go back and forth … 100% dedicated to Home Depot," the company’s COO said.
- Merchants are "chartering vessels specifically for Walmart goods," though some items are still out of stock more than usual, CFO Brett Biggs told investors last week.
The intrigue: Chartering a vessel can cost around $40,000 per day, per one estimate cited by NBC News — in other words, a rounding error for corporate giants.
- Some transportation service companies are expanding offerings for chartering vessels in response "to high demand from existing retail customers," NBC reports.
But it’s likely not an option for smaller shops. That may make it more difficult for them to compete, at a time when pandemic pains have faded faster for bigger players.
One reason: Most other retailers aren’t bringing in nearly enough merchandise to fill a vessel — something that makes it economical for their giant counterparts.
- “For most other companies, this mismatch makes chartering vessels economically out of reach,” says Nate Herman, a policy executive at trade group American Apparel & Footwear Association.
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Jul. 27, 2021 07:35PM EST
K-12 students fell 4 to 5 months behind on learning during pandemic
Elementary school students in the U.S. ended the school year four to five months behind their expected level of academic achievement, according to a new report.
Why it matters: Months of school closures and often inferior remote education eroded what schoolchildren would have learned since the pandemic began, and caused some to go backwards.
- The effects of pandemic-driven learning loss will weigh on the economy for decades ahead, and could worsen if schools can't reopen normally in the fall.
By the numbers: Researchers from McKinsey compared academic achievement for K-12 students after the 2020-21 school year to matched students from previous years, and found that students were testing 10 points behind in math and 9 points behind in reading on average.
- The numbers were worse for historically disadvantaged students — students in majority Black schools ended the year with six months of unfinished learning, while students from low-income schools finished seven months behind.
The big picture: The authors wrote that "unless steps are taken to address unfinished learning, today’s students may earn $49,000 to $61,000 less over their lifetime owing to the impact of the pandemic on their schooling."
- That translates to an impact on the U.S. economy of $128 billion to $188 billion every year as these students enter the workforce.
Between the lines: More time spent in remote education correlated to worse outcomes — students in more urban schools fell further behind students at rural schools, which returned to in-person education faster.
What to watch: How successful efforts to close the learning gap over the summer prove to be, and whether schools can reopen for full-time in-person education even as the Delta variant — and lagging vaccination rates — cause COVID-19 case numbers to rise.
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Jun. 03, 2021 03:22PM EST
White House selects destinations for first wave of vaccine donations
The Biden administration has laid out its framework for sharing vaccines for the world and named the recipients of the first 25 million doses, taking a major step toward becoming a global vaccine supplier.
Why it matters: The U.S. had been the only major vaccine producer to keep virtually its entire supply at home while countries looked to Russia or China for doses. But Biden has pledged to share at least 80 million doses this month and additional shipments beyond that.
Driving the news: The White House said today that 75% of the first wave of doses would go through the WHO-backed COVAX initiative, with priority shipments to Latin America, Southeast Asia and Africa.
- Another 25% of the vaccines will be shared bilaterally to address immediate surges (with first doses available to Mexico and Canada).
- Through COVAX, approximately 6 million doses are planned for South and Central America, including hard-hit Brazil. 7 million doses are expected to reach Asia, including India and Pakistan.
- Africa will receive 5 million doses with recipient countries to be chosen through coordination with the African Union, the White House said.
What they're saying: “We want to save lives and thwart variants that place all of us at risk,” White House national security adviser Jake Sullivan said at a press briefing Thursday.
- “And as the president has said, the United States will not use its vaccines to secure favors from other countries.”
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