Home Industry News Canadian Bridge Blockade Stretches Fragile Auto Supply Chain

Canadian Bridge Blockade Stretches Fragile Auto Supply Chain


Protestors blocking traffic between the U.S. and Canada to oppose vaccine rules are further stretching an auto supply chain already worn thin by pandemic-related labor shortages and a scarcity of chips.

It’s the latest obstacle for an auto industry that has been struggling to navigate a pandemic and global semiconductor shortage that have made vehicle production erratic. Smaller suppliers that have run out of Covid-relief loans and suffered shutdowns because of virus outbreaks are particularly vulnerable, said Alex Calderone, president of Calderone Advisory Group, a Detroit-area consultancy that works with distressed suppliers.

“The supply chain has been destabilized” during the pandemic, he said by phone. “The smaller suppliers in particular are just not in a position to be able to withstand this type of a blow.”

Calderone spent Tuesday morning with a Michigan-based client that needed to send plastic parts to a supplier in Canada this week in order to make payroll, he said. They were planning an alternate route to avoid the bridge.

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