Shipping Cost & Market Updates
May/June 2021
Disposable Glove Market Updates
September 2020
Global Market Glove Manufacturing capacity
- The current global glove manufacturing capacity is less than 60% of the actual glove demand
- Factor holding back supply, overall investment in new manufacturing
- The global PPE market will continue to stress supply on Disposable gloves, masks, gowns, shoe covers, sanitizers and will grow from $60 billion to $100 billion by 2030
- The disposable glove market alone was $7 Billon in 2019 and will grow to $19 Billon by 2030
General Inventories
- We are working with our global procurement management to secure additional capacity as it become available
- We are using our long-term relationships in the market to secure product and manage costs
- We continue to receive in product, however shipping delays and the extended manufacturing lead times continue to stress service levels
- Our ability to build inventories has been affected by extremely high customer demand exceeding supply
Customer service
- We are continuing to manage and allocate product as it become available to supply our customers
- We are offering fill in substitute product as available to offset shortages of other products
- We are working with each of our market channels to customize solutions to support their business
- As product is received into our system it is prioritized based on date of orders placed
- We are allocating product based on current customer historical purchases
- Customer product allocations are continuing while supplies continue to be a challenge
Market Summary
- Preparations for a 2nd wave of the virus in Fall continue to stress available supply
- Raw material shortages
- Aggressive price increases and long lead times (12 Mo.)
- Factories selling out capacity to highest bidder
- Elevated demand will continue into Sept 2021
- Lack of new capacity being added to satisfy new extreme normalized demand
- Prices should remain above historical levels well into 2021
- The glove market is in the process of a complete adjustment, going from ample supply in availability of multiple polymer types to only having limited available polymer types at any given time.