Monday, March 28, 2011

Ancillary Regional supply chain disruptions continue

As an adjunct to our March 23rd post here is a story on Daikin, one of two suppliers of the fluorinated ethylene propylene (FEP) used in plenum-rated cable.  In essence this company is only one of two suppliers of this material and they have basically lost half their capacity.  They have halted production, placed all existing orders on hold, and will not be updating delivery estimates until at least April 1st but most likely much longer (see,

Also in the article there is a very interesting link to their supplier letter:  They could operate but are unable to get the water they need to do so and are unsure when they will...

This is definitely going to be the true challenge ongoing as the anectdotal information has suggested, for many of the manufacturing plants in the region for a variety of electronics related products, from coatings, chemicals, finished goods, ICs, and much more...

We suggest opening the door as much as possible in your organizations, to accepting crosses and substitutes, at least short term to mitigate against these delays which could be ongoing for days, weeks, months, and maybe even years.

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