Turkey Earthquakes Hit Global Supply Chains

Turkey’s role as a transit country and potential Eurasian logistics hub of significant importance has grown recently.

“This is not an easy time in Turkish logistics. The earthquake caused large-scale damage to critical logistics infrastructure. Key ports, airports, and highways have been affected. Truck transportation has almost entirely ceased due to unusable roads. In addition, power outages have disrupted industrial production, caused significant delivery delays, and created serious supply chain bottlenecks,” says Elena Firsova, Branch Manager Istanbul at AsstrA-Associated Traffic AG.

The earthquake also affected ports in southeastern Turkey. The biggest damage was recorded in Iskenderun Port, which is a hub for heavy industry and one of the two main container hubs on Turkey's southeast coast.

“There is no doubt that the earthquake will affect the Turkish economy, and the impact on Turkey’s industrial and supply chains may adversely impact the price of oil and exacerbate the country’s already raging inflation. At this point, shipping lines serving the Mediterranean and Black Sea regions have already begun rerouting Iskenderun–bound shipments and reworking Turkish supply chains,” highlights Tobias Sopalla, COO of the Ocean Logistics Department at AsstrA-Associated Traffic AG.

Another major global supply chain challenge is an earthquake-caused shortage of raw materials. Earthquake damage to many factories and warehouses has resulted in the loss of inventory and raw materials.

“The situation in the region is difficult on many levels. We are carefully following the earthquake story and will respond to the needs of our clients,” adds Elena Firsova.