Coronal Virus Weekly update to our Customers and our Sales Team,
Below is a note on how we see the current situation as it relates to the Coronavirus and what we are doing about it.
As you all have seen in the news Wuhan Coronavirus is spreading quickly with confirmed cases continuing to rise. Here are the important facts related to this outbreak.
1. The Chinese government is prioritizing facemasks and PPE production for the domestic China market, and hence, we expect a reduction in capacity and/or delayed shipments from our factories.
2. The province in China where a large percentage of PPE is manufactured (for the entire industry) is Hubei Province, the same origin as the Coronavirus. The Hubei Province government recently extended mandatory factory closure through March 10, 2020. (A large percentage of traditional Wound Care production also originates in this province.) Highways, public transport, rail, river and air travel have all been restricted to emergency medical teams only. As a result of this, further delays in getting products from Hubei Province are expected.
3. The Chinese government extended the Chinese New Year holidays causing production workers to return to work later than planned. To date they are still not nearly fully staffed. This will have an impact on multiple product categories.
4. This sort of action is unprecedented, and we have no accurate data as to when the restrictions will be lifted.
5. Categories impacted by the current situation in China are listed below:
a. Facemasks – Surgical and Isolation
b. PPE – Isolation Gowns and Coveralls
c. Traditional Wound Care
d. Surgical Drapes and Gowns
e. Components for Standard and Custom Packs
As numerous efforts are being taken within China to prevent further spread of the virus, we are beginning to see a real impact on manufacturing operations for facemasks and other PPE products within that country. As such, we will see a reduction in capacity and/or delayed shipments for facemasks and other PPE throughout the industry for the foreseeable future. Our top priority is to ensure our current customers domestically have the essential supplies they need to protect both patients and staff. Medline has multiple production locations for the items impacted in our global supply chain and has ramped up production in all areas possible, while diligently monitoring the situation in China. This is an extremely challenging time in healthcare. Medline will continue to monitor the situation both locally and on the ground at our supply locations to effectively manage inventory. We are doing all we can to support our current customers to limit and/or reduce supply interruptions. Our commitment to you and our customers is regular, transparent communication, and as always we will make sure we are conservative in our approach and under promise and over deliver