24
Mar 2020

PCB Connect Group COVID-19 Update: Major Airlines imposing unprecedented freight surcharges.

PCB Connect Group Manufacturing Operations.

Updated March 24th:

  • The PCB Connect Group continues to follow all relevant domestic legislation & guidance across all of its businesses to ensure the safety of its employees and their families as its primary responsibilities.
  • The PCB Connect Group supply network across Asia remains operational, with capacity continuing to recover and normalize. Our factory based FQC and management teams have returned to work and are working to reduce post shut down backlogs and delays.
  • We are moving to flexible work arrangements worldwide outside of Greater China. All team members are working remotely wherever possible, and in those instances where work requires them to be on-site should we are following all guidance to maximize personal space.
  • The PCB Connect Group is in the process of identifying opportunities to increase resilience within its global PCB Supply Network to minimize supply chain disruption from future global pandemics.
  • We continue to monitor imbalances of logistics capacity from Asia due to Covid-19 and will continue to select the most appropriate mode of transportation for all products working in consultation with our customers.

Updated March 18th:

In light of the continued spread of COVID-19 exponentially across Europe, the PCB Connect Group is monitoring all aspects of its supply chain operations in ensuring a safe as possible environment for its employees and extended partners as its highest priority.

Our manufacturing network across Asia continues to recover from the initial outbreak of the COVID-19 virus, and available capacity and lead times are continuing to normalize. We will continue to follow the recommendations of the local authorities in China working in conjunction with our partners during this time.

Our factory management team in China continue to report available capacity within our core facilities daily against the backdrop of our total order book, and total capacity needs, and we are working with our partners to increase productivity and throughput on an ongoing basis.

PCB Connect Group Operations.

As a global business, we are following the advice as set out by national authorities and governments. This has meant that we have implemented a work from home policy in some cases, and we have moved to strengthen our IT infrastructure to enable seamless operations as far as possible. We will continue to act prudently and cautiously in ensuring that our employees and their extended families’ health remains our number one priority. As of today, our ability to support customers with the level of communications and services you have come to expect of the PCB Connect Group remains unchanged.

As the Coronavirus continues to spread outside of mainland China, we are starting to see the first impact on logistics movements and routes into Europe.

Air Freight

As is being reported in the media, many airlines have or are in the process of canceling flights from mainland China & other major hubs across Asia.

This reduction in cargo capacity has led the majority of airlines to announce today, that they are imposing extraordinary freight surcharges on all new shipments from these origins.

The PCB Connect Group is currently working to understand the implications of these surcharges.

We are working with our logistics partners to enable full transparency in addressing the requirements of our customers and will continue to select the most appropriate logistics solution, balancing timely customer deliveries against the backdrop of these unprecedented increases in freight cost.

Sea Freight

Key terminal operations in China are continuing to normalize, however, our partners are still managing high levels of congestion due to COVID-19 and the Chinese New Year shut down. Whilst the situation for shipping electronics hasn’t been as affected as for those who are shipping refrigerated goods, the decline in manufacturing output within China has seen carriers continue to announce so-called “blank sailings” or cancellations. The PCB Connect Group has a long-held strategy of shipping sea freight products out of Hong Kong, which has thus far not been as badly affected as some ports in mainland China.

Express Air Freight Shipment.

Our key express shipment partners continue to operate as close to normal schedule at this moment and we are continuing to monitor cargo availability closely.

Reducing the impact to Customers.

The spread of COVID-19 has and will continue to impact on the PCB Connect Group’s ability to meet some of its previously stated commitments to customers. As a business, we are fully focused on minimizing these disruptions, utilizing our global production network, as well as assessing and acting upon the most effective method of delivering products to customers. We anticipate that these disruptions will continue during March, and we are committed to continuing to keep customers updated regularly.

We are encouraging customers wherever possible to increase their supply chain planning horizons through this period by continuing to place orders, and we will work with customers to balance out these supply chain disruptions as far as possible.

If you have any questions, please contact us!

PCB Connect Group

www.pcbconnectgroup.com