By: Sunny Wu（sunny7@juntaiplastic.com）
Post Date: August 20, 2021
Post Tags:Wal-Mart started chartering boats!
One of the world's largest shippers, Walmart in the United States, said that due to supply chain disruptions that continue to threaten sales, Walmart is chartering ships to ensure it has enough capacity to meet peak season demand. The decision was made in the absence of capacity in the maritime market.
"We rented vessels to ensure the capacity of the third and fourth quarters and are satisfied with the inventory situation, especially compared with last year, the inventory of each market segment has increased by 20%, and we are able to respond well to the expectations in the second half of the year. "Cost pressure," said John Furner, chief executive officer of Walmart America, on the company's earnings conference call.
According to executive vice president and chief financial officer Brett Biggs on Tuesday’s company earnings conference call, Wal-Mart benefited from the US government’s economic stimulus plan and its food sales increased by $2.4 billion year-on-year. Now we are looking forward to the strong peak demand of the "back to school" season.
However, Biggs added that current supply chain issues are a major issue. "We need to mitigate the impact of supply chain disruptions. This is the main reason why ships are specifically chartered for Wal-Mart to transport goods." He explained.
Wal-Mart is experiencing significant sales growth, especially in the United States. Chief Financial Officer Brett Biggs stated that it will grow by 11%-12% throughout the year. He said that the growing demand for e-commerce means that Wal-Mart is developing new logistics centers to meet this demand.
However, Wal-Mart has not disclosed any details of its ship leasing business.
In December last year, the freight forwarding giant DSV Panalpina bypassed the liner company and chartered its own ships and boxes and opened the China-Denmark route. In the same month, there were reports that another freight forwarding and logistics giant DHL Global Forwarding was also considering this method to deal with the current situation. Market changes. In January of this year, when the Asia-Europe container transportation continued to be "chaotic," following DSV/DHL, the freight forwarding company GEODIS used chartered ships to increase its capacity to transport goods out of China.
In terms of BCO, after Home Depot, the top three major retailers in North America, has contracted an entire container ship to carry the company’s goods, e-commerce giant Amazon has also chartered ships to major shipping companies for the holidays in the second half of the year. Business opportunities.