Supply chain professionals predict global recession in 2020
Supply chain exectutives have said they expect a recession in 2020 due to concerns over global trade volumes and ongoing friction between China and the United States.
64% of the 780 industry professionals surveyed for the 2020 Agility Emerging Markets Logistics Index say a recession is likely in the next 12 months.
They identified rising trade barriers as the factor most likely to hurt emerging markets growth.
However, many of the participants said their companies would “ride out any turbulence” in trade relations between China and the US.
70% of those surveyed that have investments in China have said they will stay and that their plans remain unchanged despite the ongoing tensions between the two nations.
Essa Al-Saleh, CEO of Agility Global Logistics said: “The fears of a recession are not to be taken lightly, especially because of uncertainty about the impact of the coronavirus outbreak
“A positive sign, however, is that a large number of emerging markets economies were able to weather an array of issues — political and social unrest, structural problems, even international sanctions for some — without losing much ground in the past year.”