Global supply chain pressures ease in July

The GEP Global Supply Chain Volatility Index, produced by WSP Global and GEP, showed global supply chain pressures eased in July 2026 as manufacturers reduced precautionary stockpiling and transportation costs moderated. However, supply shortages remained elevated and production backlogs continued to build, indicating unresolved bottlenecks. The survey was mostly conducted before renewed disruption in the Strait of Hormuz, so it does not capture the subsequent rise in energy prices and geopolitical uncertainty. Regional indices declined across Asia, North America, Europe, and the U.K., with Asia's index falling to 1.37, North America to 0.76, Europe to 0.68, and the U.K. to 0.30. Demand for raw materials remained strongest in Asia and North America, while Europe lagged. The demand component was the weakest year-to-date, driven by China and the U.S., as the stockpiling boost faded.