Warner seeks more information from major retailers on supply shortages & rising costs

WASHINGTON – On January 20, 2022, U.S. Sen. Mark R. Warner (D-VA) requested more information from major retailers regarding omicron-related supply chain problems and shortages that are contributing to inflation and rising costs. In a letter to the National Retail Federation – the world’s largest retail trade association, representing large retail companies like Target and Wal-Mart – Sen. Warner expressed concern with the ongoing supply chain disruptions and stressed that companies and the government must work together to tackle the problems that are leading to higher prices and directly hitting Americans’ pockets.

“Despite the unprecedented challenges associated with reopening the nation and fighting the Delta and Omicron variants, our economy has recovered significantly since the onset of the COVID-19 pandemic. However, increasing prices continue to threaten our progress. I understand that persistent supply/demand imbalances and supply chain disruptions are contributing to inflation and urge you to continue working with me, my colleagues, and the Biden Administration to identify ways to alleviate these supply chain issues as quickly as possible,” Sen. Warner wrote.

He continued, “I am also continuing to advance legislation that addresses targeted supply chain issues that have shown to have sweeping impacts on our economy, including the U.S. Innovation and Competition Act which includes $52 billion for domestic semiconductor manufacturing. However, it is clear that these efforts will likely take time to bear fruit, and that more needs to be done now to help Americans facing rising prices.”

In the letter, Sen. Warner asked companies what they are doing to resolve the supply chain problems and what more the federal government can do to support those efforts. Specifically, he posed the following series of questions to better understand the steps being taken by companies to alleviate supply chain pressures and to inquire about any additional measures that Congress can take to assist with this effort:

1. Alleviating existing backlogs continues to be an immediate priority for the private sector as well as the government. Can you please explain what your companies are doing to alleviate backlogs and what challenges you are facing? Are there any constraints that lend themselves to policies that Congress should pursue?

2. How long do you see supply chain pressures lasting? Do you believe the supply chain problems we are seeing will begin to soften in 2022?

3. What more can Congress, or the federal government, do to support your efforts to clear these backlogs and strengthen our nation’s supply chains?