Price of consumer goods could surge as shipping costs soar, industry body says | Supply chain crisis

Global trade is facing increasing headwinds, with the potential for significant price increases on a range of consumer goods in 2026. A new study indicates that rising shipping costs, coupled with broader economic uncertainties, are creating vulnerabilities within the international supply chain.

Rising Costs Across Multiple Sectors

The Chartered Institute of Procurement and Supply (CIPS) reports that the cost of transport, energy, and raw materials are all contributing to price volatility. This is expected to impact businesses and, consumers. Specifically, shipping and logistics are predicted to see substantial price increases, with 22% of procurement professionals surveyed reporting cost hikes exceeding 10% by the end of 2025.

Impact on Specific Goods

The anticipated price surges aren’t limited to shipping. Nearly a fifth (18%) of those surveyed have observed price increases for computers and peripheral equipment. Further, 15% reported rising costs for transport equipment, and 14% for electrical machinery and apparatus. Late in 2025, Lenovo and Dell reportedly increased computer prices by approximately 15%, with some Dell laptop models seeing price jumps between $130 and $765.

Did You Know? The average spot shipping rate between Asia and the US west coast increased nearly 30% between late December and early January, rising to $2,145 for a 40ft equivalent unit.

Growing Concerns and Systemic Risks

Concerns about supply chain disruptions have reached their highest level in two years, according to CIPS, which represents 64,000 organizations across 180 countries. Procurement professionals, often the first to identify price fluctuations and supply issues, are increasingly worried that this volatility isn’t temporary. They believe uncertainty and price swings may become a permanent feature of international trade.

Expert Insight: The findings suggest a fundamental shift in the stability of global trade, moving away from a period of relative predictability towards a more volatile and uncertain landscape. This could necessitate significant adjustments in business strategies and risk management protocols.

These concerns are compounded by geopolitical tensions and shifting trade policies. Increased tensions, including recent threats regarding Greenland and the potential for conflict with Iran, have contributed to investor flight to safe haven assets. US tariffs and protectionist measures are also cited as key drivers of price volatility.

What Could Happen Next

If current trends continue, consumers could face sustained inflationary pressure throughout 2026. Businesses may be forced to absorb higher costs, potentially impacting profitability, or pass those costs on to consumers. Further geopolitical instability or changes in trade policy could exacerbate these challenges. It is also possible that supply chains will adapt, finding alternative routes or suppliers, but this process could take time and involve additional costs.

Frequently Asked Questions

What is driving up shipping costs?

The cost of transport, energy, and raw materials are all rising, contributing to increased shipping rates. Geopolitical tensions and shifting trade policies are also playing a role.

Which sectors are most affected by these price increases?

Shipping and logistics are expected to see the most significant price rises. However, computers, peripheral equipment, transport equipment, and electrical machinery are also experiencing increased costs.

Are these price increases expected to be temporary?

Procurement professionals surveyed by CIPS are concerned that price volatility and uncertainty may become a permanent feature of international trade, rather than a temporary disruption.

How might businesses and consumers adapt to a potentially more volatile global trading environment?