Extreme weather conditions and their impact on global supply chains
The effects of climate change are no longer an abstract future scenario, but a reality. Whether heavy rainfall lasting days, widespread floods, months-long droughts or hurricanes with wind speeds of over 120 km/h — extreme weather events are accumulating all over the world and are increasingly pushing the logistics sector to its limits. The resulting challenges affect almost every area of the transport chain — from loading to storage to final delivery.
Weather as a factor of uncertainty in the supply chain
Climatic changes are having an increasing impact, particularly in global supply chains. Roads are flooded or damaged, railways impassable, airports paralyzed, ports temporarily closed. In times of highly connected and just-in-time logistics, such interruptions can have expensive domino effects.
Examples from practice:
- Germany, July 2021: The devastating floods in Rhineland-Palatinate and NRW caused massive damage to roads, bridges and railway infrastructure. Freight traffic was disrupted for days.
- Panama Canal, 2023: As a result of prolonged drought, the water level became so low that container ships could only pass significantly reduced. The result: months of backlogs and alternative routes via more expensive sea routes.
- USA, 2022—2024: Recurring winter storms led to large-scale shutdowns on roads and railways in several states — with significant effects on freight transport and food supply.
Effects on the logistics sector
These real scenarios show that weather phenomena have long had operational and economic consequences — and they require a clear rethink across the industry.
- 67% of companies report resource scarcity due to climate-related supply bottlenecks.
- 51% report damage to infrastructure such as buildings or roads.
- 46% complain about supply bottlenecks due to disrupted supply chains or missing materials.
These figures illustrate the urgency of integrating climate risks into companies' risk management.
Strategies to minimize risks
In view of increasing extreme weather conditions, risk management in the logistics sector must be rethought. Companies should prepare for several levels to minimize weather-related disruptions.
1. Diversifying supply chains
Working with multiple, geographically distributed suppliers reduces the risk of local outages. This also includes examining alternative transport corridors (e.g. rail instead of road).
2. Investments in climate-resilient infrastructure
These include elevated storage areas, watertight warehouses, weather-resistant loading facilities and predictive maintenance of the vehicle fleet during periods of heat or frost.
3. Using digital tools and early warning systems
By using real-time data, AI-based weather forecasting and automated route adjustments, transport plans can be made more flexible and robust.
4. Training and raising awareness of employees
Drivers, logistics coordinators and warehouse personnel must be prepared for climate-related crisis situations — for example through emergency training and practical guidelines.
5. Partnerships and transparency in the supply chain
Close cooperation with customers, partners and authorities can help identify bottlenecks at an early stage and develop solutions together.
Extreme weather conditions are a growing threat to global supply chains. Companies must act proactively to make their logistics processes resilient to climate-related risks. By diversifying, investing in infrastructure, using digital tools, and targeted training, they can build resilience and better prepare for future challenges.
Climate change poses significant challenges for the logistics sector. Extreme weather events lead to disruptions in supply chains and cause significant economic damage. Companies that invest in resilient structures and processes at an early stage can secure a decisive competitive advantage and strengthen their position in an increasingly volatile market.