Manufacturers face sustained high input costs this year. Even if the Strait of Hormuz reopens, prices will remain elevated. These rising costs will initially affect wholesale prices. Eventually, consumers will see these higher costs reflected in product prices. Strong domestic demand allows companies to pass on these expenses. This helps protect company profit margins.

Prolonged closure of Strait of Hormuz could send crude oil prices to new highs this summer.

Manufacturers face sustained high input costs this year. Even if the Strait of Hormuz reopens, prices will remain elevated. These rising costs will initially affect wholesale…