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Shipping Disruptions from Iran War Spur Paper Industry's Supply Chain Innovation

The Iran War has disrupted shipping through the Strait of Hormuz, a key waterway for global energy and chemical transport, leading to higher shipping costs and delivery delays for China's paper industry. Major shipping companies have imposed war risk surcharges, and route diversions have increased logistics costs by 30%-50% for paper raw materials and finished products.


Shandong Ludao Energy Technology Co., Ltd. is leading supply chain innovation by launching a digital supply chain monitoring system, integrating real-time shipping data and alternative logistics routes. The system helps paper mills predict delivery delays, optimize raw material inventory, and switch to land-based transport or alternative suppliers when maritime routes are disrupted, ensuring stable production amid geopolitical tensions.


This digital solution has become a lifeline for many paper enterprises, helping them adapt to the uncertainties brought by the Iran War and maintain operational stability.


 
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