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Supply chain vulnerabilities badly exposed by Covid: HVIA

supply chain

Supply chain resilience and its systemic vulnerability have been badly exposed by the challenges posed during the pandemic, said Heavy Vehicle Industry Australia (HVIA).

HVIA Chief Executive Todd Hacking says the problem is an international one, however believes the Productivity Commission’s focus on local issues is appropriate and timely. 
 
“It is verging on calamitous when truck manufacturers are forced to park up brand new vehicles because a minor part has been held up by supply chain issues,” Hacking said. 
 
“We know that virtually every importer has been seriously affected, whether it is vehicles, components, parts, accessories or technology – everyone. 
 
“We hear their frustration: interminable delays, the impost on air freight, the hold-ups through quarantining; we appreciate these issues have a devastating impact on your customers’ ability to do business and also your bottom line.” 
 
The Productivity Commission is undertaking a Vulnerable Supply Chain Review with an interim Report expected in late March. 
 
The commission will be taking written submissions on the interim report until April 30, before producing its final report. 
 
“We are seeking further information from HVIA members to inform our submission to the inquiry,” Hacking added. 
 
“We need detail of the types of problems members have encountered, to ensure that the Productivity Commission has a clear understanding of the issues that need to be addressed. 
 
“Since the Covid virus started we have had numerous anecdotal reports of problems with the supply chain for heavy vehicles and components entering Australia. 
 
“Australian industry resilience became a hot topic very quickly this time last year, however the irony of our very lively market conditions, offset by managing delivery expectations, was not fully realised.” 
 
If you have had problems with your supply chain since Covid started, the HVIA would like to hear from you so they can help the commission fix the issues.
Please contact HVIA’s National Manager Policy & Government Relations to outline your experiences: g.forbes@hvia.asn.au.
Non-members can also make a submission directly to the commission by clicking here.
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