The impact of COVID-19 on pricing, costs, and supplier negotiations
Wednesday, 11 March 2020 | 3:00 pm–4:00 pm UK time | 11:00 am–12:00 pm New York time | 60 minutes
Commodity prices have dropped 10% since mid-January on concerns about the impact of coronavirus disease 2019 (COVID-19) on demand. Markets appeared to have found some footing in mid-February, as factory production in mainland China slowly restarted, but they subsequently sagged with the outbreak spreading to additional countries. Transportation bottlenecks in China, particularly a lack of trucking services in central China, seem to be the big stumbling block to normal flows in supply chains. The risks to the outlook are significant, especially since manufacturing inventories at the end of 2019 were already low. Most concerning, the growing threat of a COVID-19 pandemic threatens global disruptions. The question now facing markets is how well countries—such as Italy and South Korea—contain outbreaks of the virus. Given the impact on supply, demand, and costs, companies need to diligently track pricing, as not all pricing will be on the downside.
Please join us on 11 March as we discuss the highs and lows of the pricing environment over the next six months.
IHS Markit speakers
John Anton, Associate Director, Pricing and Purchasing Service
Sophie Malin, Senior Economist, Pricing and Purchasing Service
John Mothersole, Director, Pricing and Purchasing Service (moderator)
Mark Szakonyi, Executive Editor, The Journal of Commerce, Maritime & Trade