How the LA wildfires may impact supply chains
Jan. 16
The LA wildfires could disrupt supply chains across the U.S., according to Dale Rogers, a professor at ASU’s W. P. Carey School of Business.
Businesses and consumers should anticipate delays, shortages and increased operational costs. This is likely because power outages, evacuations and closures of key transportation routes have disrupted production and distribution networks in the Southern California region and beyond.
While the Ports of Long Beach and Los Angeles are outside the state’s Red Flag Warning zone, transportation routes to and from those large hubs, some of the largest in the country, pass through affected areas, potentially disrupting access to both the ports and to Los Angeles International Airport.
The Port of LA activity was up 40% in 2024. The gasoline supply line between California and Arizona was also shut down last week for two days but is now open.