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How Supply Chain Disruptions From Iran Conflict Could Threaten U.S. Retail Prices

Photo by Eduardo Soares / Unsplash

The ongoing war with Iran could soon drive higher prices for American shoppers as global supply chains face new disruptions. According to reporting by CNBC, Iran’s continued closure of the Strait of Hormuz is slowing the movement of energy supplies and key commodities.

Logistics firm C.H. Robinson warned that shipping capacity remains tight and fuel related costs are creating volatility in freight prices. Analysts say these pressures could soon filter down to retail shelves.

Retail research firm Coresight Research said grocery items may be hit first because food supply chains are less flexible than apparel and other goods.

Rising fuel prices are also expected to squeeze household budgets. Analysts say retailers focused on lower prices may benefit as consumers cut discretionary spending and search for cheaper alternatives.

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