A Season to Give Thanks & Appreciation!
Updated: Dec 1, 2022
Looking back on the year of 2022, we have experienced exponential increases in rates with ocean and trucking, unstable dollar valuation, raw material shortages, and failure in transportation dept. These factors have led to serious port congestions across US with climbing fuel costs that has crippled the global economy. Throughout this year, we've managed to deliver goods consistently to our clients and reduce freight expense by a minimum of 30% during the peak seasons as we approach the end of 2022. We ask ourselves on a consistent basis: “What can we do to add more value to our clients than anyone else?”
During this season, we want to express gratitude to our family, friends, SR team, and our clients/partners. Thank you for being a part of this journey; Now we turn the page to a new chapter.
"Alone we can do so little; together we can do so much." — Helen Keller.
4 reasons to team up with your suppliers on innovation
1. Enhance cost optimization
Keeping suppliers informed of your plans in its early stages can allow them to assist with suggestions on alternative materials, different designs, and other approaches to help keep costs down.
2. Speed the time to market
External innovation from suppliers can offer strategies for time management and resources, allowing companies to focus on other core areas to improve businesses.
3. Become a customer of choice
Strong supplier partnerships help support brand building and bring in new customers. More importantly, you gain a trusted partner with a lifelong relationship that may prioritize your orders or provide other benefits in times of disruption.
Working with suppliers can help companies unlock new innovations that advance sustainability goals by providing sourcing options and tools to identify focus areas that will keep your business ahead of the competition.
Import vs. Domestic
1000D Nylon vs. 1000D Cordura
We understand the value of saving time while being cost efficient especially over the past 2 years. Did you know our 1000D Nylon is also constructed with high tenacity Nylon? Our 1000D Nylon can be compared to 1000D Cordura from the chart below:
Our product edge 1000D Cordura in physical performance vs Cordura is a type 66 yarn and may edge in color fastness level. If your projects are not barrier amendment required, our 1000D Nylon can add value in performance and less initial cost depending on its applications.
Please reach out to us for more information regarding our 1000D Nylon with any questions.
Notes on Supply Chains:
Labor Talks Taking Time
Courtesy of Maersk
Contract negotiations continue to playout that cover 22,000 workers at 29 West Coast ports as well as 115,000 railroad workers essential for the functioning of the nation’s rail network. West Coast talks have languished while railroaders continue to vote on a tentative deal. A December deadline looms.
USD Currency Trends
The US dollar is trending stronger against major currencies. As the dollar remains the reserve currency and is used in international trading, when the USD is stronger, it causes raw materials to increase. Most overseas vendors would need to exchange domestic currency to the US dollar to pay for goods that are needed. They are saving when dollar is stronger and this is already reflected in the pricing provided below:
Oil prices continue to fluctuate on higher costs and is expected to rise. Synthetic fabrics derived from chips produced with Petro chemicals. We will continue to monitor the cost of materials and will keep you posted.
In summary, we see prices will fluctuate on the low side. As trade normalizes, we will see a short term relief in price but should the dollar remain strong, cost of material will raise due to oil and exchange rate to acquire raw material. The savings are reflected more in the labor costs in manufacturing of the goods.
Please reach out to our team with any questions, comments, or things you want to know.
Wishing you and your family a warm and happy holidays!