A&R rises rates after Covid supply-chain disruption hikes costs
A&R Logistics, which provides supply chain services for the chemical industry, said it has increased by 10% all non-contract rates, and will also increment ancillary services prices, because of the Covid-19 impact on costs.
"We’ve witnessed unprecedented disruptions in the supply chain for the chemical industry during 2020,” said CEO Mark Holden.
A&R has already cut overall spending, including through personnel reduction, he added.
"As we and our customers have rebounded from this volatile period, areas of our business have remained stressed. We’re seeing severe capacity shortages despite running our fleet at 110%,” Holden added.
“The industry's chronic driver shortage has become increasingly acute, and we’re seeing cost pressure across many other areas,” Holden said.
A&R ships, stores and packages chemicals such as plastic resins.
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