A range of factors have helped Asia’s supply chains weather the COVID-19 pandemic better than those in other parts of the world. But vigilance is needed to maintain these vital trade links. The pandemic has created supply and demand mismatches and reallocated global demand from services to goods. As a result, supply disruptions have emerged alongside the global recovery.
Asia, however, has been less affected than other regions, as reflected by smaller increases in delivery times by suppliers in the manufacturing sector from February to April 2020. Delivery times have remained moderate since May 2020.
What’s more, deliveries are now faster than they were on average globally from 2016 to 2021 in China, Indonesia, India and Thailand. In the Republic of Korea, the Philippines, Vietnam and Malaysia, delivery times are longer, but less than in the euro area, the United States and several other advanced economies.