The ecommerce growth trend is doing even better than expected so far in 2021.
eMarketer has revised their 2021 ecommerce sales forecast up to 17.9% from a previous 13.7%.
Reasons include the government stimulus at the start of the year as well as robust spending as the overall economy starts to reopen from the lockdowns during the pandemic.
A couple of retail high risers include Apparel which is forecast to grow by 28.7% and Home furnishings at 11.4%.
According to Reuters, the US has created a “supply chain strike force… looking for specific violations that contributed to a hollowing out of supply chains that could be addressed with tariffs or other remedies, including toward China.”
The focus however is on products deemed critical to national security and safety including “neodymium magnets, semiconductors, transportation, as well as agriculture and food.”
The goal is to reduce US supply chain bottlenecks and over reliance on foreign supply chains which can be risky as seen during the pandemic.
Biden also has stated that “China will not surpass the US as a global leader on his watch” so we shall see how this trade war pans out in the next 4 years.
Last Tuesday, the Senate passed one of the largest industrial bills in U.S. history in a bipartisan effort to ensure the U.S. remains competitive with China as one of the globe’s technological powerhouses.
According to CNBC “The bill, which passed the chamber 68-32, commits roughly $250 billion in funding for scientific research, subsidies for chipmakers and robot makers, and an overhaul of the National Science Foundation.”
The bill paves the way for billions in new and replacement funding to spur the creation of new technology hubs across the United States, Additional investment in semiconductor research and manufacturing, and stand up a technology directorate at the National Science Foundation. There’s also a directive to the Commerce Department to create a new supply chain resiliency and crisis response program. New reporting requirements, and a response and recovery fund for local governments responding to cyber crises.
In short, this bill is about countering China by focusing on U.S. competitiveness.
Here are some things you may have missed from last week: