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Globe says Apple seen as vulnerable to Asian oil shock

2026-04-22 09:18 ET - In the News

See In the News (C-AAPL) Apple CDR (CAD Hedged)

The Globe and Mail reports in its Wednesday edition that consumer electronics could be the first sector to feel the ripple effects as Asian manufacturers grapple with factory closings and a dwindling fuel supply, leading to higher prices and a more limited selection for shoppers. The Globe's Mariya Postelnyak writes that manufacturing in Asia has been especially vulnerable to fuel shortages since the United States and Israel attacked Iran in February. With more than 70 per cent of oil supply coming from the Middle East in some cases, many countries in the region face shortages of oil derivatives used in factories to make the plastics and other petrochemicals that go into almost every manufactured product, along with helium, a natural gas byproduct. While some consumer goods such as apparel are shielded from immediate supply chain shocks in the region by larger inventories and business models that rely on placing orders well in advance, the tech sector is more fragile. Vietnam, an industrial hub that hosts operations for companies supplying the likes of Apple and Samsung is bracing for oil shortages after gasoline prices rose about 30 per cent and diesel by about 40 per cent in the first weeks since the start of the war.

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