Currently Reading

Supply Chain Woes Pushing up Paint Prices

Advertisement
Manufacturers + Suppliers

Supply Chain Woes Pushing up Paint Prices

There has been a lot of talk about the current spike in inflation being "transitory." But CEO John Morikis and other Sherwin Williams executives don't necessarily see that being the case.


October 1, 2021
Open paint cans and color wheel
Photo: stock.Adobe.com

Raw material shortages and cost increases have prompted paint manufacturer Sherwin-Williams to raise prices. The company recently told investors that its cost for resins and polymers to make paint and steel to make cans will increase somewhere in the high teens for the year and exceed 20% during the fourth quarter. So the manufacturer has to respond with price hikes.

There has been a lot of talk about the current spike in inflation being "transitory." But CEO John Morikis and other Sherwin Williams executives don't necessarily see that being the case.

"The reality is there's a tight supply chain market, there's a strong demand and we expect raw material costs will stay elevated for a period of time," said CFO Allen Mistysyn.

"The actions we're taking say we're expecting them to be longer term rather than shorter term," said Morikis.

The suppy disruptions started earlier this year when the severe winter storm that hit Texas caused prolonged power outages and damaged some suppliers' plants.

"Recovery of suppliers in Texas has consistently been slower than has been communicated to us all year, with some suppliers still not back to pre-storm operating levels seven months later," Morikis said.
Damage to suppliers from Hurricane Ida only added to the problems.

"Our suppliers are now reporting that the impacts of Hurricane Ida are more severe and will be longer lasting than initially thought," Morkis said. "Production of several key resins, additives and solvents, expected to resume by late September, has been pushed out."

Read More

Related Stories

Building Materials

4 Key Steps Home Builders Can Take To Minimize Lumber Costs in 2022

By ordering efficiently and making the proper preparations, builders can stay one step ahead of fluctuating lumber prices in the new year

NAHB

U.S. Sawmill Production Fails to Keep Pace With Housing Demand for Lumber

NAHB Policy Brief | Insufficient production is causing an unprecedented spike in lumber prices as sawmill output fails to keep up with consumer demand and housing starts outpace lumber production

Environmental

Climate Change Threatens Lumber Production as Prices Reach a New Peak

When it comes to lumber prices, the detrimental implications of climate change may outweigh even the heavy hand of the coronavirus

Advertisement
Advertisement

More in Category




Advertisement
Advertisement

Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.


Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Subscribe
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.