·
Many industries
and top international exporting countries are experiencing harsh political
turmoil, inclement weather conditions and shortages of all kinds, such as
power, raw materials, workers, etc. Below are several big issues that are
impacting the global supply chain:
o
Continuing
lockdowns and effects of Covid19 quarantines are continuing to cause
disruptions across the entire globe, creating huge manufacturing backlogs in
all industries.
o
The release of 5G
is largely attributed to the worsening electronic chip shortage as the
manufacturers shift their focus from other areas to prioritize component
production for the new technology.
o
China is going
through one of its worst grid power disruptions due to a coal shortage,
effectively crippling the manufacturing powerhouse of the world. Factories have
been forced to operate on a reduced schedule.
o
Taiwan
experienced one of its worst droughts in decades during the summer of 2021.
This reduced the number of chips that could be produced by the world’s largest
chip makers.
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The United States
is experiencing a large shortage of shipping containers, workers, trucks, and
truck drivers which has resulted in an all-time high of over 100+ cargo ships
sitting off the ports of Los Angeles and Long Beach as of 10/21/2021.
Here at Tycon Systems, we have already
taken many necessary steps to avoid inventory shortages and have made changes
to our inventory forecasting to help prevent future stock issues. Even with our
early adjustments, we find ourselves struggling to keep all of our products in
stock at all times.
We have started seeing the light at
the end of the tunnel as supply of many components we use are already beginning
to stabilize. We think that this trend will continue and by mid-2022 we are
hopeful that we’ll be dealing with a more normal supply chain.
We deeply apologize for any
inconvenience our customers have experienced during these increasingly
uncertain times. Thank you for your continued support and helping make us what we
are today.