Panic ordering by retailers is making the supply chain crisis ‘even worse’

Retailers and manufacturers are overordering or placing orders too early amid panic over the massive supply chain crisis, and that’s making things much worse, those in the industry told CNBC.

“Suddenly, retailers and manufacturers are overordering because of these supply chain issues, and that’s just leading to essentially an even worse scenario,” Jonathan Savoir, CEO of supply chain technology firm Quincus told CNBC’s “Squawk Box Asia” on Monday.

Supply chains everywhere have been hit by massive disruptions this year, from container shortages to floods and Covid infections setting off port closures.

That’s gotten worse because demand is rocketing, as economies reopen after the worst of the pandemic.