Quo vadis, Europe?: European Logistics Update

The list of economic woes throughout Europe continues to grow: there’s a slowdown in production; increasing unemployment rates; and a fear of rising financial debts and the long-term impact that will have on the overall economy.

In the meantime, consumer spending has plummeted or shifted to non-premium products causing additional price pressure on manufacturers and service providers. Fuel costs have stabilized to a certain degree, but they’re still painfully high.

And while economic conditions in the Eurozone are demanding, European logistics providers, carriers, and ports continue to report that they’re still striving for improvement in infrastructure, efficiency, service, and sustainability. In short, business must go on despite all of these mounting concerns.

Statistical data from July, collected through the Organization for Economic Cooperation and Development’s recent “International Transport Forum,” highlight concerns over possible declines in the EU-27. The figure show that total seagoing foreign trade (in tons) remains 5 percent below precrisis levels in the EU-27, while air cargo volumes are 4 percent below this level.

In France and the United Kingdom, trade by sea and air are still below the precrisis peaks, while Germany’s economy has been resisting the general trend towards stagnation. Total German seagoing trade grew 12 percent from July 2008 to March 2012, while air cargo volume increased 19 percent during the same time. Germany’s economy has benefited from its traditionally strong manufacturing export trade.

This complete article is available to subscribers only. Click on Log In Now at the top of this article for full access. Or, Start your PLUS+ subscription for instant access.

Not ready to subscribe, but need this article?
Buy the complete article now. Only $20.00. Instant PDF Download.
Access the complete issue of Supply Chain Management Review magazine featuring
this article including every word, chart and table exactly as it appeared in the magazine.

SC
MR