Record-low water levels on the Rhine River are yet another reminder that supply chain risks have fundamentally increased. Building resilience, including considering higher buffer stocks where appropriate, is no longer a temporary adjustment but a structural necessity
Extreme low water in Europe's main transport artery is yet another disruption
Europe is once again facing the consequences of extreme drought. Water levels on the Rhine River, one of Europe's most important transport corridors, have hit their lowest level on record, reducing barge load factors and constraining inland shipping capacity.
The timing is particularly concerning. Such shallow water levels this early in the season are not only a clear sign of mounting climate-related risks, but are already affecting businesses that depend on the waterway for the transport of raw materials and agriproducts, liquids and containers. And the situation could easily deteriorate further. As snow cover becomes scarcer and glaciers continue to shrink, periods of low water are likely to become more frequent. (....)