Since such a high percentage of promotional products and much apparel are made in China, we will likely see supply issues later this year. According to our PPAI media (Promotional Products Association Newslink), here is some information on what has happened and what we can expect.
The outbreak of the coronavirus in China and now its global spread has much of the world on edge. So how does that affect you and your marketing? According to our PPAI media (Promotional Products Association Newslink), here is some information on what has happened and what we can expect.
Since such a high percentage of promotional products and much apparel are made in China, we will likely see supply issues later this year. Many U.S.-owned factories have already been seeking other production outlets or alternative products. This has also caused domestic production to prepare and anticipate a growing demand for product. Shortages of products may causes price changes later this year, along with the tariffs that may be added.
The Chinese government imposed the largest quarantine in the world’s history, even after the Chinese New Year was over. That prevented most factories from reopening as usual. Many spent the extra time with production at a halt sanitizing their facilities. And now those that are open are not yet working at 100% capacity. Shipping capacity is also reduced as those workers are not at full capacity. Shipping delays to replenish goods in the U.S. or for custom-made products will certainly occur.
With China being an integral part of the supply chain for many industries, including promotional products, there has been concern of whether the virus can spread via goods from that country. Per the CDC, because the poor survivability of these coronaviruses on surfaces , there is very low risk of spread from products or packaging that are shipped over a period of weeks at ambient temperatures. Coronaviruses are thought to generally behave the same way as SARS and MERS; and spread most often by respiratory droplets. In other words, products coming from China carrying viruses are very unlikely as the viruses don’t live long on hard surfaces and would not survive the long trip of shipping from China to the U.S. Currently, there is no evidence to support transmission of 2019-nCoV associated with imported goods.
For right now, it is business as usual with our suppliers here in the U.S with their full inventories of products. We continue to receive updates on the Chinese factories’ status. And of course, we have products Made in the USA if you would like to go that route.
Contact me if you have any questions or concerns about your product safety or delivery dates.
A little more about us:
Primary Source provides businesses, schools, non-profits and organizations with promotional products, decorated apparel, personalized awards plus executive and incentive gifts. We help clients choose the products that will fit their budget and recipients, AND give them RESULTS:
- Increase tradeshow traffic
- Enhance marketing plan
- Boost sales
- Reward employees
- Recognize supporters
- Increase attendance at events
- Promote your brand
- Market you services
- Recruit members
- Support your community or cause
At Primary Source, we want your promotional product choice to bring you the results intended – we are Promotional Products with a Purpose!