• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster

2

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

3

Now worth $200 million, Sarah Jessica Parker credits being ‘one of eight kids that struggled financially’ for her hunger, ambition, and work ethic

1

Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster

2

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

3

Now worth $200 million, Sarah Jessica Parker credits being ‘one of eight kids that struggled financially’ for her hunger, ambition, and work ethic
Retailsupply chains

55% of people blame the government for the supply chain crunch. But what’s actually behind the slowdown?

Megan Leonhardt
By
Megan Leonhardt
Megan Leonhardt
Down Arrow Button Icon
Megan Leonhardt
By
Megan Leonhardt
Megan Leonhardt
Down Arrow Button Icon
December 16, 2021, 1:31 PM ET
Add Fortune on Google for similar content.

Product shortages and delivery delays are finally easing up, but many Americans increasingly blame shipping companies and the federal government for their inability to get their hands on the products they want. 

About 58% of consumers say shipping and logistics companies bear “a lot” or “some” of the blame for the current supply chain bottlenecks that have led to shortages, according to Morning Consult’s survey of 2,200 consumers fielded last month and published Thursday. But nearly as many Americans, 55%, blame the government.

In fact, supply chains are complex and, in many cases, are global—which means there’s rarely one entity to blame when things go wrong. The Biden administration has taken several steps this year to help fix supply chain problems, including keeping ports open 24/7, meeting with business leaders, and even supporting a National Guard deployment to reduce trucking shortages (the White House later said it wasn’t actively pursuing this option at the moment).  

Experts say that the current supply chain challenges are a result of a perfect storm of pent-up consumer demand being unleashed before the effects of the pandemic had truly passed. “As demand increased, pandemic-related disruptions continued to affect major ports and manufacturing facilities, dampening the supply response,” writes Michael Spence, a distinguished fellow with the Council on Foreign Relations.

During the pandemic, many Americans went on a shopping spree for electronics, home workout gear, and musical instruments. And they have continued their spending after vaccines became available. 

Meanwhile, many industries along the supply chain—manufacturing, shipping, transportation, and even retail—were dealing with COVID outbreaks, worker shortages, delays, and soaring costs. 

Manufacturers eventually ramped up production to meet demand, but that put pressure on companies responsible for transporting raw materials. At the same time, shipping containers became scarce, and finished products piled up. And then transportation costs soared. Shipping a container from China to the U.S., for instance, hit $20,000 in September, compared with just $1,500 in February 2020, according to the Council on Foreign Relations.

Bottom line, the spike in consumer spending created a domino effect that clogged the system. While the pandemic played a significant role, corporations’ reliance on lean and just-in-time inventory techniques to limit their costs likely also played a part. These approaches mean companies store less inventory, which can lead to supply shortages if demand soars or if there are supply chain issues. 

It also didn’t help that some shipping companies, at the beginning of the pandemic, reduced their schedules, anticipating a drop in consumer demand. Or that some countries and governments have put restrictions in place to contain COVID-19 outbreaks that also impact manufacturing and shipping. 

Economists have blamed these ongoing issues as contributing to rising U.S. inflation rates. The price of U.S. consumer goods and services rose 6.8% over the past year, according to the latest consumer price index. 

But there is some good news ahead. Experts predict that supply chain constraints will continue in some form or another through early next year, but likely level off during the second half. In a report last week, credit insurance company Euler Hermes said global supply chain disruptions will remain high until the second half of 2022, but it expects global trade to grow 5.4% next year. 

There is, of course, uncertainty about the impact of Omicron and any future COVID-19 variants, some of which are expected to be vaccine-resistant. “There’s a lot of uncertainty,” Fed Chair Jerome Powell said Wednesday. “What’s going to be the effect on the economy? That will depend on how much it suppresses demand as opposed to suppressing supply.”

Currently, research shows that vaccines and boosters work against the current COVID variants, so the more people who get vaccinated, the lower the economic effect, Powell said. But this doesn’t mean there won’t be any economic repercussions. “Delta had an effect of slowing down hiring, and it actually had an effect on global supply chains. And that hurt the process of the global supply chains getting worked out. So [Omicron] can have an economic effect. I just think at this point, we don’t know much,” Powell said.

Never miss a story: Follow your favorite topics and authors to get a personalized email with the journalism that matters most to you.

About the Author
Megan Leonhardt
By Megan Leonhardt
LinkedIn iconTwitter icon
See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Retail

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Retail

Amazon Prime Day total online spending surpasses Adobe estimate
Retailecommerce
Amazon Prime Day total online spending surpasses Adobe estimate
By Spencer Soper and BloombergJune 27, 2026
36 minutes ago
p
RetailWorld Cup
The 2 billion-print, $2-pack last hurrah for a World Cup legend: the Panini sticker album’s last ride
By Dave Skretta and The Associated PressJune 27, 2026
5 hours ago
Red Lobster lost millions on its endless shrimp disaster. Shareholders say it was a ‘car crash’ designed to squeeze profits
LawRestaurants
Red Lobster lost millions on its endless shrimp disaster. Shareholders say it was a ‘car crash’ designed to squeeze profits
By Marco Quiroz-GutierrezJune 26, 2026
24 hours ago
The ‘FIFA 15’ is American culinary diplomacy in action
North AmericaFood and drink
The ‘FIFA 15’ is American culinary diplomacy in action
By Catherina GioinoJune 26, 2026
1 day ago
Fortune 500 Power Moves: Which executives gained and lost power this week
C-SuiteFortune 500 Power Moves
Fortune 500 Power Moves: Which executives gained and lost power this week
By Fortune EditorsJune 26, 2026
1 day ago
Marketing leaders speak at Fortune's Fuel Up event in Cannes. (L-R) Natalia Ball, Mars Pet Nutrition; Zena Arnold, Sephora; Tati Lindenberg, Unilever; Laura Jones, Instacart; Ruth Umoh, Fortune
RetailCMO
The new CMO playbook: how marketers are balancing broader remits and tighter budgets
By Sam BirchallJune 26, 2026
1 day ago

Most Popular

Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
Success
Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
By Preston ForeJune 27, 2026
10 hours ago
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
Success
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
By Sydney LakeJune 25, 2026
3 days ago
Now worth $200 million, Sarah Jessica Parker credits being ‘one of eight kids that struggled financially’ for her hunger, ambition, and work ethic
Success
Now worth $200 million, Sarah Jessica Parker credits being ‘one of eight kids that struggled financially’ for her hunger, ambition, and work ethic
By Orianna Rosa RoyleJune 24, 2026
4 days ago
Ray Dalio just finished a 10-day trip to China. He says global leaders know America ‘doesn’t have what it takes to fight to maintain its empire’
Asia
Ray Dalio just finished a 10-day trip to China. He says global leaders know America ‘doesn’t have what it takes to fight to maintain its empire’
By Nick LichtenbergJune 24, 2026
3 days ago
Current price of silver as of Friday, June 26, 2026
Personal Finance
Current price of silver as of Friday, June 26, 2026
By Joseph HostetlerJune 26, 2026
1 day ago
The 33-year-old executive Satya Nadella is trusting to fix Microsoft’s Copilot AI assistant
AI
The 33-year-old executive Satya Nadella is trusting to fix Microsoft’s Copilot AI assistant
By Sebastian HerreraJune 27, 2026
11 hours ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.