Print the page
Increase font size
The Slowbalization of Shipping

Posted January 08, 2024

Matt Insley

By Matt Insley

The Slowbalization of Shipping

With the emergence of snarled global supply chains in the years after the immediate pandemic crisis, we took note of some “buzzwords in boardrooms.” 

In 2022, they were onshoring, reshoring, nearshoring… even friendshoring. 

The unifying idea was bringing a company’s outsourced manufacturing back to the United States — or, at least, to a “nearby” country, which, ostensibly, didn’t hate our guts. 

As former World Trade Organization (WTO) chief Pascal Lamy put it: “Offshoring happened because it was more efficient. Reshoring happens because fragilities that were not priced in have appeared.” 

But instead of de-globalization, Lamy forecasted “slow-balization” — a prolonged period of domestic insourcing of materials, manufacturing and services. 

Of that “prolonged period,” however, Big Short investor Michael Burry observed: “Onshoring/blue collar shortages plus global supply chain restructuring raise long-term inflation’s floor.” 

And all this was said before Yemen’s Houthi faction paralyzed shipping via the Red Sea and Suez Canal — which accounts for about 12% and 10% of global trade and oil shipments respectively

Send your opinions to, feedback@newsyoucanacton.com

Your Rundown for Monday, January 8, 2024...

The 80s Called, They Want Shipping Back

Consequently, global shipping has regressed to the 80s. The 1880s.

Ships have resorted to circumnavigating Africa, sailing around the Cape of Good Hope, which adds a significant amount of travel time and fuel costs for ships traversing between Asia and Europe. 

This route can increase transit time by up to 40%. What's more, ships on this route must stop in South Africa for refueling and resupplying. However, South African ports are among the world's least efficient.

According to the World Bank's Container Port Performance Index ranking 348 ports, three major South African ports — Durban, Ngqura, and Cape Town — are ranked in the bottom 10 globally. The highest ranked South African port is Port Elizabeth, which sits at a dismal 291.

As analysts at Forward Observer research discovered by consulting the World Bank data, inefficiencies at these ports can turn a two-week Africa sailing delay into nearly a month or more of waiting for ships to cycle through.

Which leads us to an X-tweet sent along this morning from Paradigm editor Byron King… 

Screenshot 2024-01-08 at 9.20.26 AM

“Wow, lots of ships taking the long route,” says Byron. “More time, energy, cost. Delays in loading and unloading. Friction in the global system. 

“This will show up on U.S. shelves,” he concludes, “just in time for primaries and election season.” 

In your opinion, what will be the upshot of this latest supply chain SNAFU — for inflation, the 2024 election and “reshoring”? Your opinion matters.

Market Rundown for Monday, Jan. 8, 2024

The S&P 500 is up just 0.05% to 4,735. 

Oil is down 4% to $70.82 for a barrel of WTI. 

Gold is down 1.15% to $2,021.50 per ounce, according to Kitco. 

And Bitcoin is up almost 2%, over $45,000. 

Send your comments and questions to, feedback@newsyoucanacton.com

The Death of Charlie Kirk

The Death of Charlie Kirk

Posted September 12, 2025

By Matt Insley

A man is dead. His family grieves. And poison spills across social media.
The Next 6–9 Months Could Get Ugly

The Next 6–9 Months Could Get Ugly

Posted September 10, 2025

By Matt Insley

Inflation is the cloud overshadowing the American consumer — especially at the grocery store and gas pump.
Taiwan’s Drone Dome

Taiwan’s Drone Dome

Posted September 08, 2025

By Matt Insley

In the era of Ukraine, a new idea has taken root in Taiwan: Small, cheap, expendable drones can harass, delay and even cripple its larger adversary, China.
The American Birthright, Made Easy

The American Birthright, Made Easy

Posted September 05, 2025

By Matt Insley

Chris Campbell’s case for silver aligns perfectly with Jim Rickards’ American Birthright thesis.
A National Housing Emergency

A National Housing Emergency

Posted September 03, 2025

By Matt Insley

Where’s the housing emergency, and what can the White House do about it?
[MAHA] The Revolution D.C. Doesn’t Deserve

[MAHA] The Revolution D.C. Doesn’t Deserve

Posted September 01, 2025

By Matt Insley

Buck Sexton outlines how a MAHA architect has triggered one of the most aggressive realignments in U.S. health policy in decades.