Tightening of Available Warehousing Space-Another Important Issue for the Supply Chain

Along with the shortage of containers and port congestion, tightening of warehousing space is and will be an important issue that needs serious attention from the global supply chain. The need for more warehousing space is increasing while the logistics warehouse vacancy rate remains relatively low. According to an article on Maersk, logistics warehouse vacancy rates across the US are expected to remain historically low during 2022, following the extreme lows of 2021. The factors that cause the need for more warehousing space are complicated. Retailers and wholesalers are intended to reach more customers. Manufacturers are looking to increase the agility of their supply chains and add more near-sourcing options. These pressures are counted as the main drivers.