Freight Costs

Kenyan exporters emphasized energy costs as a critical factor affecting competitiveness, noting industrial electricity tariffs in Kenya are higher than regional rivals like Ethiopia and Egypt. They called for government action to remove systemic obstacles, including energy, freight, taxation, and inter-agency coordination, rather than subsidies. Exporters highlighted that energy-intensive operations face razor-thin margins, with energy accounting for one-fifth of some companies' operating costs.

Fuel shortages in Russia are disrupting trucking routes to China, causing delivery delays and increased freight costs. Logistics companies report longer gas station waits, reduced daily driving distances, and a 10% tariff increase starting July 1.

Buyers of US liquefied petroleum gas (LPG) are canceling cargo shipments due to surging freight costs. The article highlights a scene in Noida, Uttar Pradesh, India, where buyers queue for cooking gas, underscoring regional supply challenges.

The article discusses how the ongoing conflict between the United States and Iran is exacerbating challenges in the PC market, which already struggles with memory shortages and rising component costs. Higher freight costs and inflation are further driving up prices for consumers and businesses.