A few weeks ago, we highlighted early macro effects of the coronavirus and ways entrepreneurs could help find novel solutions. Since then, the disease has spread rapidly.
In this update, we highlight takeaways from Matt Stoller, a US policy expert (and another solid Substacker). In a recent issue of his newsletter BIG, he asked his influential readership about problems they’ve seen with Chinese supply chains affected by the spread of the disease.
The list is long and something to keep an eye on as supply chains re-jigger in the weeks and months to come. It includes:
- Pet food
- Garden hoses
- Antibiotics
- Printed circuit boards
- Flat panel TVs
- Electric motors
- Roku streaming devices
- Pump/valve parts for oil/mining machines.
- Air conditioning parts
- Snow removal tools
- Germanium for semiconductor wafers
- Ball caps, sports bags, backpacks, baseballs, softball, hockey sticks, lacrosse gloves, batting gloves, golf bags
- Certain semiconductor machine tools
- Bicycle helmets and safety equipment
- Tires
Stoller also noted that the long-term effects of supply-chain disruption are unclear, but that companies are "beginning to accelerate plans they had on the shelf to move away from dependency on China."
Separately, the FDA maintains an updated list of shortages and, with regard to medical equipment, has cited supply pressures for "surgical gowns, gloves, masks, and respiratory protective devices."
CB Insights notes that news coverage with "supply chain" and "virus" have skyrocketed, but companies that support shipment visibility, manufacturing automation, and autonomous delivery may be the key to keeping other businesses alive during the spread of the disease.
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