The media reports that this week the administration of the President of the United States Joe Biden will double measures aimed at strengthening the supply chain.
According to the current American leadership, the mentioned solution is an effective tool to curb the inflationary process, reducing negative economic dynamic. In this context, the Joe Biden administration focuses on the need to restore the sphere of the economy after the coronavirus pandemic, which has become a serious challenge and to a large extent was a load that created an additional financial burden.
In the relevant efforts of the United States, the main role belongs to the new White House Council on Supply Chain Resilience, which is an authority at the cabinet level of the Minister. Joe Biden will launch the work of this council at the beginning of the current week. The new unit of the American authority system will conduct a four-year review of the supply chain. As part of this work, according to media reports, strategic documents prepared to ensure national defense and internal security will be studied. The first review, according to preliminary information, should take place at the end of next year.
White House Economic adviser Lael Brainard told reporters that the administration of the American president is pleased with the progress in efforts to strengthen the supply chain, which already has a concrete economic result in the form of lower prices for goods ranging from turkey to gasoline for families on Thanksgiving Day. She also stated that work in this direction will continue.
An analysis conducted by employees of the Federal Reserve Bank of San Francisco this summer testified that the coronavirus pandemic accounted for 60% of the surge in US inflation. Experts note that the White House was satisfied with this conclusion since in this case the process of increasing the cost of goods and services is explained by the epidemiological situation, and not by the fiscal incentives of the government in response to the state of affairs.
The media, citing two officials of the administration of the American president, report that this week the US leadership will also announce some bureaucratic actions. This case implies an invocation of the Defense Production Act to invest $25 million in raw materials for sterile injectable drugs and a new report on the dependence of the United States on foreign suppliers with a high level of risk in the pharmaceutical supply chain.
New participants and container transportation of agricultural products will be added to the existing program of work to optimize cargo logistics and the agreement on the exchange of information between the public and private sectors.
The media also report that the US Department of Energy will announce grants totaling almost $300 million to coal communities to switch to clean energy supply chains this week.
Currently, in the United States, the level of consumer prices is lower compared to a year ago. However, experts draw attention to the fact that inflation continues to be not only an economic but also a political problem for Joe Biden on the eve of the presidential elections of 2024.
As we have reported earlier, White House Gives $50 Million to Small Businesses.