January 2024 Production Times

This month, we’ve observed a large increase in the production timelines for our products. The current average duration for completing orders has reached 59.5 days, marking a rise of 10 days from the previous 49.5. Specifically, our Premlene Sheet Rubber and National Silicone Solid product lines both experienced a 15-day extension in production time. The production period for National Silicone Sponge has expanded by 20-days. Additionally, there’s a 5-day increase in the production time for our Engineered Structures line and GCP Sourced Clamps/Fittings, while GCP Sourced Molded, UHMW-PE Sheet parts, and National Silicone Foam have seen a 10-day increase. The production times for all other product lines have remained consistent.

Contributing to these increases are the forthcoming Chinese New Year celebrations, which begin in February, and weakened demand continues to impact factory operations, by way of reduced staffing and shuttered capacity to decrease costs. In Presidents Xi Jinping’s New Year’s Eve address, he mentioned China’s businesses are struggling and job seekers have trouble finding work.This is the first time Xi has mentioned economic challenges in his annual New Year’s messages since he started giving them in 2013. The country’s massive manufacturing sector had been weak for most of 2023. After a brief pickup in economic activity in the first quarter of last year, the official manufacturing PMI contracted for five months until September. Then it dipped below 50 again.