The supply crush that’s hounding U.S. Manufacturers and the economy is getting even firmer.
ISM’s latest survey of Buying Managers showed the average lead time for materials in September increased to 92 days,
For Plant Buying Managers looking to upgrade or replace equipment, the typical lead time has grown by 8 days to over 154 days, the longest since 1989.
Continual shipping challenges, related to production interruptions due to Covid19 in export driven economies such as China, logistic delays, labour supply limitations in the U.S. continue to besiege manufacturers.
A quote from one Appliances industry Buying Manager said “We will not see an end to this in 2021,”
Against a backdrop of steady consumer demand and healthy business investment, the supply chain difficulty’s has also led to a greater pace to the problems.
Disruptions like these will only add to inflation.