Plus: Tariff-fueled inflation may be next supply chain challenge
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October 3, 2025
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Government shutdown, staff furloughs strain supply chains
The government shutdown has already disrupted supply chains, with many federal employees either furloughed or working without pay. Though essential workers such as Customs and Border Protection officers are still on duty, many support staff have been furloughed, potentially slowing documentation and inspections, especially at ports and border crossings. Trucking companies are seeing paused permitting and compliance reviews, and ports remain operational but face slower processing, which is having a ripple effect across the supply chain and is posing a risk to time-sensitive perishable and pharmaceutical shipments.
Full Story: Supply Chain Digital (10/1), Logistics Viewpoints (10/1)
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Tariff-fueled inflation may be next supply chain challenge
Pent-up inflation is emerging as the next major concern for the economy as pre-tariff inventories fade. Prices have been relatively stable, as much of the merchandise sold in recent months was imported before new tariffs took effect. However, as stockpiles dwindle, the market is shifting its attention toward potential price increases in goods now subject to higher tariffs. Retailers are responding by fine-tuning pricing and promotion strategies, particularly for price-sensitive shoppers, while analysts say the actual impact of inflationary pressures will become clearer during the holiday season -- a crucial test for supply chains and consumer budgets.
Full Story: CNBC (10/2)
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White Cap expands reach with new enterprise DC in Calif.
White Cap has opened a 332,335-square-foot facility in Perris, Calif., its first Enterprise Distribution Center that marks a significant milestone in its national supply chain. The construction and safety products distributor aims to enhance customer service and operational efficiency with the new facility by placing products closer to jobsites and expanding delivery capacity. White Cap also donated $10,000 to the CAL FIRE Benevolent Foundation during the grand opening.
Full Story: Industrial Distribution (9/29), Modern Distribution Management (tiered subscription model) (9/29)
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Builders FirstSource buys 2 Nevada millwork companies
Builders FirstSource has acquired Builder's Door & Trim and Rystin Construction in the Las Vegas area, marking a strategic move to address the company's lack of millwork operations in the region. The additions are part of BFS's broader strategy to invest in high-return opportunities and strengthen its presence in key geographies.
Full Story: Modern Distribution Management (tiered subscription model) (10/2)
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Frank Marcoccio named president of ABC Supply subsidiary L&W Supply
Modern Distribution Management (tiered subscription model) (10/2)
 
 
Amazon invests $1.9B in Delivery Service Partner program
Chain Store Age (9/30)
 
 
 
 
Operations and Technology
 
Retailers optimistic despite holiday inventory challenges
 
Online retail's rise fuels soaring demand for warehouse space
(Matt Cardy/Getty Images)
Despite ongoing issues with inventory and staffing, nearly half of US retailers remain optimistic about their holiday sales prospects for 2025. According to the GreyOrange survey, 47% of respondents expressed more confidence in holiday stock availability compared to last year, while only 20% felt less confident. Early holiday merchandising and efforts to shore up supply chains are seen as signs of this positive outlook.
Full Story: RetailWire (free registration) (10/1)
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Procurement teams embrace AI but remain in early stages
Procurement teams have universally adopted AI, but only 6% have reached advanced maturity and the rest in early or moderate stages of integrating the technology, according to a ProcureAbility survey. Most organizations have seen moderate gains, primarily in strategic decision-making, operational automation and predictive risk management. Digital transformation and environmental, social and governance initiatives are top priorities for 2026.
Full Story: Digital Commerce 360 (10/1)
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Sales and Marketing
 
B2B marketers must adapt to buying networks
Forrester's Paul Ferron says the increasing complexity of B2B buying, with larger buying groups and the influence of generative AI, is creating a gap between buyers and vendors. Ferron advocates for the elimination of marketing-qualified leads in favor of "revenue process transformation," focusing on opportunities involving multiple personas. He says consistent storytelling across all influencers is crucial for vendors to build trust and facilitate decision-making.
Full Story: The Drum (free registration) (9/30)
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Report shows slower hiring so far in 2025
The jobless rate was measured at 4.34% in September, according to data indicators from the Chicago Federal Reserve. Separately, Challenger, Gray & Christmas reported that layoff announcements fell 26% from the prior year. However, the firm also reported that new hiring has been down sharply this year compared with 2024.
Full Story: CNBC (10/2), Reuters (10/2)
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Solve problems faster with this backward approach
Solve problems faster by starting with the outcome you want, and working backwards -- a system called mental inversion that will reveal potential obstacles and pitfalls, writes Thomas Oppong, the writer and creator of the "Postanly Weekly" newsletter. "Reversing your thinking also trains you to be mentally independent, assuming the opposite of what you believe and testing it. It reveals hidden assumptions," Oppong writes.
Full Story: Fast Company (tiered subscription model) (10/1)
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About NAW
 
The National Association of Wholesaler-Distributors (NAW) is one of America’s leading trade associations, representing the $8 trillion wholesale distribution industry. Our industry employs more than 6 million workers throughout the United States, accounting for approximately 1/3 of the U.S. GDP. 250,000 wholesale distribution companies operate across North America, including all 50 states. Learn more.
 
 
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