Specifying MCM During Supply Chain Challenges

by Marcy Marro | January 3, 2022 12:00 am

By Nick Scheib

The Nils K. Nelson Bioscience Innovation Building at Purdue University Northwest (Photo: Mark Kempf Photography, courtesy of 3A Composites USA)

The current supply chain crisis is heavily linked to COVID-19. Projects were delayed and some job sites were shut down in 2020—a year that otherwise, in my view, would have seen amazing growth in commercial construction. When the COVID-19 vaccine became available in January 2021, the commercial construction market hopped into gear and tried to catch up on the 2020 delays. Projects moving forward met a traffic jam in material requests and longer lead times. As manufacturers, we struggled to get raw materials—including aluminum and plastic commodities—domestically. We turned to the global market and were met with congestion at every port.

In dramatic contrast to historically stable paint supply, 2022 brings several factors which are driving longer lead times and high increases in architectural quality (PVDF) paint costs. Crucially, demand for PVDF resin in the booming EV battery market is outpacing supply. To further strain the supply chain, many suppliers of resins, additives and solvents required for paint manufacturing have struggled to recover from prolonged power outages during the Texas freeze and damages from Hurricane Ida.

The global supply chain crisis has not only forced manufacturers to scramble to secure raw materials but to pay a premium for them due to supply and demand. Manufacturers who source materials globally face freight costs that have as much as quadrupled over previous years. Rising raw material prices and shipping fees have forced manufacturers to increase product pricing in response to continuous increases in our costs.

Due to these challenges, MCM manufacturers should have a proactive and strategic procurement strategy to remain ahead, ensure continuous supply and limit cost increases.

The following key strategies are offered to ensure that metal composite panels in their project’s ideal color and finish are available on time and at the lowest possible cost:

As metal panel manufacturers, we will continue to address supply chain issues in 2022 through strategic planning to secure raw materials.


Nick Scheib serves as vice president, architectural sales and marketing, Americas, 3A Composites USA, Davidson, N.C. For more information, call (800) 626-3365, email info.usa@3AComposites.com[1] or visit www.alucobondusa.com[2].

Endnotes:
  1. info.usa@3AComposites.com: mailto:info.usa@3AComposites.com
  2. www.alucobondusa.com: http://www.alucobondusa.com

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