‘Crisis even bigger than Covid’: American business owners are barely getting by

Key Points:

• Jeff Vojta, CEO of Dilworth Coffee in Raleigh, faces unprecedented supply chain disruptions due to a combination of factors including a poor Brazilian coffee crop, Trump-era tariffs, the Iran war, and a Super El Niño weather event.
• American businesses across various industries report severe challenges with inflation, shipping delays, and cost instability, with some leaders suggesting current disruptions surpass those experienced during the Covid-19 pandemic.
• While some politicians claim resolving the Iran war will quickly lower oil and gas prices, experts warn that ongoing issues like Russia’s diesel export ban, extreme weather events, and piracy in key shipping routes will continue to strain global supply chains.
• Rising diesel and shipping costs are contributing to broader inflation, affecting not only goods but also services, creating uncertainty and financial pressure for businesses trying to plan and manage costs.
• The volatile environment forces companies like Dilworth Coffee to shorten sourcing timelines, manage thinner margins, and navigate unpredictable customer demand, highlighting the need for greater supply chain predictability amid ongoing global disruptions.