Manufacturer Delays and Surcharges

Most of us are aware that there have been global supply chain issues for several months now. Long delays and increased rates in the shipping industry have become yet another “new normal” for us all to contend with. These delays and increased costs apply just as much to commodities as they do to finished goods.

Our manufacturers have worked hard to keep products flowing and costs from increasing, but the pressures have continued to mount. Over the course of 2021, we have received several notices from manufacturers declaring that they will be charging temporary surcharges on their products. This is on top of most of our manufacturers implementing price increases in 2021, both planned and unplanned.

As for delays, we are seeing them become more and more common. Some manufacturers are better than others about communicating these delays, and some not at all simply because they don’t have an answer. One of our largest vendors recently published a reference guide for lead times detailing delays from 3 to 34 weeks. As some of our customers know, there are some delayed products that we are not getting answers for.

As we all navigate these challenges together, please keep in mind that we all want our businesses to keep growing; the manufacturers, us as distributors, your business and your customers’ businesses.