The Coronavirus is impacting supply chains globally. This is a very fluid environment which changes on a day-by-day basis. Some of our customers are asking how this affects MCR Safety’s supply chain. We are following this closely and tracking impacts. Some high level impact areas are provided below.
Many factories were directed to delay start up immediately after Chinese New
Year (CNY). These directives came from both regional and municipal leadership.
Based on current information, most of our factories will start production on the
20 February; however, a return to full production could be impacted by the
number of factory workers returning from CNY, as well as the ability for them to
travel through certain regions.
Its is estimated that our supply line from
China will be impacted by 30 days.
China polypro manufacturing may not start back up till the end of February. We are hearing the exportation of polypro garments, as well as other respirator and disposable products are being held within China to support the virus containment.
Factory owners are sourcing protective equipment (masks, goggles, etc.) for their workers. If a Coronavirus case develops in a factory environment production could be suspended and employees quarantined.
China is home to seven of the ten busiest ports on earth. The Coronavirus has and will affect some shipping. Operations have slowed down. We are analyzing possible trade delays to determine the level of disruption.
We have been asked if the virus poses a risk due to our China imports. The Centers For Disease Control says on its website: "Because of poor survivability of these coronaviruses on surfaces, there is likely very low risk of spread from products or packaging that are shipped over a period of days or weeks at ambient temperatures.
There are a lot of unknowns at this time and we will continue to monitor the situation and provide updates.