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There’s a new inflation warning for consumers coming from the supply chain



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An Optoro warehouse in Tennessee that handles returns for retailers.Source: Matt Adams | OptoroAs the markets prepare for the latest consumer price index data to be released on Tuesday, logistics managers are warning of a persistent source of inflation in the supply chain and saying consumers should be ready for the effect it will have on their wallets. While many sources of supply chain inflation that stoked higher goods prices have come down sharply — including ocean freight rates and transportation fuels — bloated inventories due to a lack of consumer demand are sustaining upward pressure on warehouse rates.”In 2022, we saw rate levels for international air and ocean and domestic trucking fall back down to earth,” said Brian Bourke, global chief commercial officer at SEKO Logistics. “But inflationary pressures remain where demand outpaces supply in 2023, including in warehousing through most of the United States, domestic parcel and labor.”One reason for the imbalance between warehouse supply and demand is the lack of new facilities coming into the market.”National warehousing capacity remains low and will remain tight for the foreseeable future as U.S. industrial construction starts have fallen consider …

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