As COVID-19 vaccines are rolled out and people get back to their normal lives, our global economy is slowly starting to bounce back to pre-pandemic times. This means many people are ready to emerge from lockdown and resume their normal activities, including construction and other projects. However, one aspect of our economy has been slow to return to normal: the global supply chain.
Due to the coronavirus, many industries were forced to temporarily shut down at some point during 2020. At the time, most people were in lockdown, leading to lower demand for goods which meant the shutdowns did not impact much at that time. However, now many of us are returning to normal, and the global supply chain has not been able to bounce back. Many industries are struggling to produce enough supply to keep up with the demand, due to a number of reasons such as shortages of raw materials and workers.
What This Means for Cypress
Our team at Cypress Door & Glass has worked hard to sustain our service offerings for our customers, when possible, throughout the pandemic. However, supply chain issues continue to put a strain on the timelines in which we are able to deliver and complete projects. We are working closely with our suppliers to provide as accurate timelines as possible but want to share some additional information on the global supply chain to help our clients understand the challenges currently faced by industries like ours across the globe.
It May Get Worse Before Better
The unfortunate reality is that the supply chain issues currently faced across all industries will likely get worse before they get any better. There are still a ton of restrictions on suppliers that are preventing them from keeping up with the current demand from consumers. Many countries have implemented border controls and testing or vaccine requirements, while a lack of a global vaccine pass has made logistics and administration difficult to manage. These, along with other restrictions, have created major bottlenecks for suppliers at every point of their process. Not only are they facing labor shortages, but also decreased access to shipping, warehouses, and raw materials.
As consumers’ demand for goods in short supply grows, freight and shipping rates have increased as well. Along with a shortage of truck drivers for regional shipping, this has caused the prices of products to increase once they finally reach the customer. While our global supply chain has historically been a way for businesses to save money and increase growth, the pandemic has highlighted the fragile network supporting it and how easily it can be disrupted.
A Global Issue
Economies across the world are feeling the impact of supply chain bottlenecks. In the U.S., many are expecting higher than normal prices for Christmas gifts this year, along with shortages of products that would normally be readily available. The U.S. has had ongoing issues with blockages at ports and products unable to reach retail stores.
China and Europe have been hit hard by the supply chain issues, with both reporting disappointing GDP growth for the most recent quarter. They point to supply chain disruptions within their manufacturing industries, as well as the continued semiconductor chip shortage which has impacted a variety of industries.
How We’re Moving Forward
As you can tell, global supply chain issues are not going away anytime soon so it is something we and all the other companies around the globe will need to learn to work with. At Cypress Door & Glass, we are working closely with our suppliers to understand the availability of products and shipping timelines so that we can schedule project timelines appropriately. We are committed to transparency with our customers and will communicate any additional challenges with them as soon as we are aware. Our team appreciates that you continue to choose Cypress Door & Glass for your glass-related service needs during this challenging time.