Most people are probably unaware of the significance of AdBlue, the liquid used in diesel vehicles to remove nitrogen oxides from exhaust gas. However, it may soon be making more headlines as an AdBlue shortage could halt supply chains, resulting in an unwelcome butterfly effect.
Since September 2015, all new vehicles sold in Europe have been required to use AdBlue. Furthermore, the European manufacturers’ association AECA reports that sales of diesel-powered commercial vehicles in the European Union have increased and now account for 95.8% of the market (96.5% in 2020).
Unfortunately, rising energy prices are forcing more and more manufacturers to halt AdBlue production, resulting in a shortage. According to Reuters, Germany’s SKW Piesteritz recently halted production to avoid further losses and is about to sell off its remaining AdBlue inventories.
“We are running dry. We are emptying our inventories because we are no longer producing,” SKW Piesteritz’s representative confirmed this.
The repercussions are severe, and they might have a significant impact on the logistics industry, as well as many other businesses farther down the supply chain. Without AdBlue, most vehicles come to a halt, preventing supplies from being transported to retailers and leaving grocery shelves bare.
And when trucks stop operating, everything collapses, bringing the entire economy to a standstill.
Running trucks without AdBlue, on the other hand, necessitates a temporary adjustment in European emissions rules and imposes a significant environmental penalty.
Trip planning optimization
Since an essential substance (in this example, AdBlue) is scarce, it is critical to optimize its utilization. As a result, the fewer kilometers traveled, the less AdBlue is utilized. This has a significant environmental impact, as logistics procedures are a key contributor to CO2 emissions and hence a main emphasis when attempting to reach our sustainability targets. The goal is to distribute and offer things in the most efficient and sustainable way feasible at the lowest possible cost.
As a result, route planning has enormous potential for optimizing kilometers traveled, AdBlue consumed, and pollutants emitted into the atmosphere. The adoption of current technology such as a transport management system may assist to reduce kilometers and CO2 emissions while also identifying areas for improvement such as fleet or loading space management, time window control, and optimization of loading and unloading procedures.
This implies that freight forwarding orders can be merged to generate the best feasible route while maximizing cargo capacity use. This not only saves money, but it also saves fuel.
Alternate modes of transportation
Even while the majority of commodities are transported by road, the mode of transportation should be carefully considered because to the rising scarcity of AdBlue.
Rail travel is one of the most ecologically friendly and cost-effective modes of transportation, particularly for big volumes of commodities. The things may be transported not just promptly, but also cheaply. In addition, practically all national and international locations may be reached when combined with other modes of transportation.
This also applies to ship transportation. This means of transportation, however, is very dependant on the weather. einsteineruploading up to get together with.
As a result, the decision to choose a certain mode of transportation or a mix of modes should be assessed against the kind and number of commodities, as well as the transit speed and origin and destination of those items. This is becoming increasingly crucial from a customer service and environmental viewpoint.