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We are pleased to inform you that the East Coast port strike has been suspended following a tentative contract agreement reached last night. While port operations resumed this morning, it will take 2-3 weeks for them to return to full normalcy as the ports work through the existing backlog.
Thanks to our logistics team’s proactive inventory pre-pulls and delivery management, we anticipate minimal impact on our supply levels and that the vast majority of our shipments are proceeding as scheduled.
Should you have any questions or concerns about specific products, please reach out to your sales representative. We appreciate your patience and continued partnership during this time.
Best regards,
Derek Lampert
Chief Executive Officer
Drive DeVilbiss Healthcare
A labor strike initiated by the International Longshoremen's Association (ILA) shortly after midnight Tuesday has disrupted several major East Coast ports. These ports serve as key trade gateways, handling about half of all containerized goods moving in and out of the U.S. Given the potential impact on our supply chain, Drive DeVilbiss Healthcare has been closely monitoring this situation for months, preparing to minimize any disruptions to our customers. We have already implemented several proactive measures to mitigate delays and ensure the continuity of your orders as much as possible. Please read below for information on the potential impact of the strike and the measures we have taken to minimize disruptions to your supply.
Potential Supply Chain Impacts
- Shipping Delays: Due to the disruption at East Coast ports, container processing will likely slow, leading to delays in receiving shipments.
- Port Congestion: Vessels may experience longer wait times or reroute to alternative ports, potentially creating congestion at unaffected locations.
- Reallocation to West Coast Ports: As some shipments may be redirected to West Coast ports, there could be additional delays due to increased traffic and longer transit times from these locations to our distribution centers.
- Product Availability: Depending on the length of the strike, there could be temporary shortages or delays in fulfilling certain orders.
Our Strategic Actions
- Container Pre-Pulls: In anticipation of a potential strike, DDH pulled as much additional inventory from the port as possible to continue deliveries to our distribution centers this week.
- Inventory Management: We are reviewing our current stock and prioritizing critical orders to ensure our customers continue to receive essential medical supplies with minimal disruption.
- Alternative Routing: We are working with our logistics partners to explore alternative routes to other available ports to minimize delays.
- Regular Updates: We will keep you informed of any significant changes in shipping schedules and are committed to providing transparent communication throughout this period.
We deeply appreciate your patience and understanding during this time. Our team remains dedicated to supporting your business by working tirelessly to mitigate the impact of the port strike on your deliveries.
Please see the Frequently Asked Questions (FAQ) further information. If you have any specific concerns or need additional information, please don’t hesitate to reach out to your account representative.
Thank you for your continued partnership and trust in Drive DeVilbiss Healthcare.
Best regards,
Derek Lampert
Chief Executive Officer
Drive DeVilbiss Healthcare
What is happening? How does it affect my business?
Thousands of dockworkers at major East and Gulf Coast ports have gone on strike as part of a labor dispute between the International Longshoremen's Association (ILA) and the United States Maritime Alliance (USMX). The strike affects 14 ports from New England to Texas and is the first major strike at these ports since 1977.
This disruption may cause delays in the movement of goods, but Drive DeVilbiss Healthcare is monitoring the situation closely to minimize any impact on our supply chain.
When will the strike end?
The strike will resolve when the United States Maritime Alliance (USMX) and the International Longshoremen's Association (ILA) successfully complete negotiations for a new union contract. There is no set timeline for when the strike will end.
Will this impact my product availability?
DDH is taking the steps outlined above to reduce the impact on product availability. The length of the strike will determine how much it affects different items. We anticipate that our mattress and respiratory categories are less likely to be affected than other categories. However, availability could change if the strike continues for an extended period.
We will proactively notify you via email or through your sales representative if any products run out of stock, along with providing alternative in-stock options. At this time, we do not anticipate changes to product pricing.
Who should I contact if I have questions?
Please reach out to your sales representative with any additional questions.
How often will I receive updates from DDH?
Please anticipate weekly communication, unless there are significant developments, in which case we will inform you as soon as possible.
We are pleased to announce that we have made a number of improvements to our therapeutic support surfaces and foam mattresses.
These enhancements have facilitated their exclusion from an anti-dumping tariff imposed by the U.S. Department of Commerce in March 2024, allowing us to drop the tariff surcharge for these mattresses. The result is a superior product designed to give end users increased comfort, safety, and functionality with a marginal increase to baseline pricing.
The improvements include:
- Upgraded fabric changed to weldable PU- coated ticking for softer, more supple, longer-lasting cover fabric
- Stretch cover remains highly breathable, but the seams are now welded; reduced sew holes means higher water resistance
- All mattresses now include upgraded handles for easier moving and positioning
- Easy to use and intuitive tie-down straps quickly and easily secure mattress to virtually any bed frame to decrease mattress migration and reduce falls
These improved mattresses will be rolling out during the last quarter of 2024.
Please reach out to your sales rep if you have any questions or need additional information.
We at Drive Devilbiss Healthcare value our partnership and will continue working to protect and maximize the value you get from our products, and to communicate product and pricing changes with integrity and transparency.
Thank you,
Derek Lampert
Chief Executive Officer
Drive DeVilbiss Healthcare