What’s happening with equipment supply, demand

By |  September 18, 2023
Garrison

Garrison

Johnnie Garrison, vice president of sales at Superior, offers perspective from his companys’ end.

“In factories where we would typically build a couple hundred conveyor units a year, we’ve now got more than 1,000 [being built],” he says. “Even in some of the previous years when there’s been a big boom, you’d see lead times get out to four or five months. We have product lines that are 12 months out for orders, and it’s been that way for 18 months now.”

According to Garrison, Superior is working closely with dealers across all 50 states to best keep up with demand. Garrison says most of Superior’s dealers have orders placed through the end of 2024 – with project orders extending into 2025.

“We plan our businesses together as much as possible,” Garrison says. “We’ve been spending a significant amount of time with [our dealers] planning for longer-term orders.”

Other options

With extended backlogs pushing out lead times for new equipment, producers are resorting to other means to source what they need quickly.

“Our dealers have increased their rental fleets,” Garrison says. “[With] all of our dealers that have large rental fleets for crushing equipment, conveyors [and more], their rental utilization is very high. It’s almost in the 90 [percent range]. We have dealers that historically have been in markets where they don’t do rentals that have gotten into doing rentals – just because the demand has been so high.”

Renting has been the way to go, Garrison adds, due to a lack of quality used equipment on the market. Another popular route is renovating the equipment producers already have on hand.

“A lot of people are refurbishing crushers and pulling stuff from one site to another site where they need it,” Garrison says. “At the end user level, they’ve been doing all that and more just to keep up.”

Looking ahead

Rainbolt

Rainbolt

One upside to the impacts COVID-19 had on the supply chain is today’s buyers and sellers are better planners.

“We all have a little PTSD from the supply chain issue that took place over the last two years,” Rainbolt says. “[Producers] are doing more pre-planning than they’ve done in the past. They know what the lead times are looking like.

“I actually prefer this model where we get to plan the inventory and people come to the table with projects that are eight to 10 months old,” he adds. “I think it would be naïve to say this never goes back to just-in-time. I guess what we don’t know is when [that might happen].”

Editor-in-chief Kevin Yanik contributed to this article.

Jack Kopanski

About the Author:

Jack Kopanski is the Managing Editor of Pit & Quarry and Editor-in-Chief of Portable Plants. Kopanski can be reached at 216-706-3756 or jkopanski@northcoastmedia.net.

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