We are now all accustomed to hearing the words ' Coronavirus' and 'China' on a daily basis in 2020, while most of us are attempting not to whip into a frenzied panic regarding health....The national news papers are certainly spreading the news nearly as fast as the virus itself can move, see a recent article.
There is potentially a darker business sickness just around the corner!
The continued health issue surrounding China and connected EU trading countries is creating a 'knock-on' trade affect that needs to be highlighted early to avoid a future trading crisis.
Like many companies Ultrimax purchases products from China and like many companies Ultrimax purchases ahead of demand to allow for the shipping period (normally anywhere up to 6 months from order placement to landing on UK shores).
As China has put into place trading restrictions and shipping restrictions to control the spread of Covid-19 there is potential for a shortage or in a worst case stop of goods from China to EU countries within a 6-18 month timeframe.
The restrictions placed now may not be felt for a further 6 months but after this there will be consequences to the squeeze on restriction.
At Ultrimax we are severely concerned about the situation in China but with forward planning we feel we can mitigate the shortfalls.
Read FT.com's article on the potential affect on business during stopped trading conditions.
Of our own product ranges sourced in China the Ultrimax Overall is potentially most at risk of a supply shortage. Our buying department has made sure that we have bolstered stocks in quarter 1 to ensure a reliable supply, however a prolonged crisis in China (and the successful launch of the Ultrimax overall) will ensure that stocks are stretched past quarter 4 2020.
The Ultrimax Overall - Ribbed Cuffs, Breathable Back & unrivalled performance have proven popular in 2020.
Ultrimax is looking into alternative supply sources for overalls and any other products currently sourced from China. As a company we simply wanted to provide an opportunity to brief our customers with information that allows you to plan with us.
You may have noticed a rise in people wearing dust masks on a daily basis! especially where people may mix in groups and crowds such as streets, shopping centres and even at work !
It has been suggested that dust masks (even higher end valved based) FFP1 / 2 and 3 products offer at best minimal protection against a virus such as the coronavirus.
It's further suggested that the only potential benefit of wearing a mask may be to reduce hand contact with the face (something we all do). However this has not abated demand of all types of masks to non professionals..this has resulted in Globally depleted stocks at the same is the case at Ultrimax over the last 3 months.
We are now routinely selling out of any FFP1, 2 or 3 ranges within 2 days of new stocks arriving and currently have no guaranteed restocking rate from our suppliers such as 3M.
Our advice is, if you rely on a product like Ultrimax overalls and dust masks to operate your business successfully, then please contact us and we can confirm a supply plan for you over the 2020 period.
We offer a free buying consultancy, and have many routes to market so if you are being let down by your current supplier, come and discuss with us your product requirements.
Our international sourcing operation can ensure your Paint Shop does not bottleneck during a busy period or falter on a key project that is crucial to your company turnover.
We will contain to monitor the situation and if events change we will advise our customer base via email and social media so please continue to check both communication methods.
Check them out below and if you have any questions or need any help don't be shy get in touch:
t: +44 (0) 1302 856666
Need advice but like watching short videos? checkout our YouTube Help Channel here
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Thank you for your interest in Ultrimax Coatings Ltd.
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