The Panama Canal and Greenland are making headlines for a reason. In this Supply Chain Byte, Lisa Anderson breaks down their strategic importance—from moving goods into the U.S. to securing rare earth minerals—and what it means for global supply chains. Here’s why we should care.
Panama Canal
Both sides of the canal—the Atlantic and Pacific—have terminals owned by a Chinese firm. The Panama Canal is not just a vital trade route; it’s one of the world’s top-rated supply chain choke points, as identified by Bloomberg. If either of these terminals is disrupted or shut down, it could wreak havoc across global logistics networks. The canal moves critical goods such as industrial equipment, petroleum products, fertilizers, and consumer goods. With today’s increasing risk of geopolitical disruption, the Panama Canal’s reliability is crucial to keeping products flowing.
Greenland
Greenland, on the other hand, is gaining attention for its abundant supply of rare earths and minerals, which are essential to modern manufacturing. These materials are critical to producing medical devices, electronics, defense-related technologies, and computer components. As companies focus on reshoring and securing end-to-end supply chain resilience, Greenland is becoming a vital strategic supplier. Ensuring access to these materials will be key for manufacturers aiming to remain competitive and avoid supply bottlenecks.
If you are interested in reading more on this topic:
Geopolitics Dominate Supply Chain Discussions
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LMA Consulting Group works with manufacturers and distributors on strategy and end-to-end supply chain transformation to maximize the customer experience and enable profitable, scalable, dramatic business growth.