Why is there a Ductile iron pipe shortage?

29 Apr.,2024

 

How Multiple Events Collided to Affect Ductile Iron Pipe Supply

Raise your hand if you can say that you’ve recently made a trip to your local grocery store with a craving for bagels and cream cheese, but after searching, you can’t seem to find your favorite flavor of cream cheese, and the bread shelves are barren.

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Like many other industries, no one could have predicted the multitude of unrelated events that conspired to cause supply chain issues worldwide. But one thing is for certain in the water and wastewater pipe sector, we have experienced one challenge after another.

The availability and cost of Ductile iron pipe (DI pipe) have been very trying over the last year, and we will continue to face headwinds based on demand and rising input costs. So how do we weather the storm that does not seem to be subsiding anytime soon? This Iron Strong Blog will discuss why we are experiencing supply chain issues, rising costs, and what McWane Ductile is doing to combat these obstacles.

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Busting the Myth on Ductile Iron Pipe Lead Times

WHAT ACTIONS DID MCWANE DUCTILE TAKE?

McWane Ductile has been steadily implementing the plans outlined in the April 2022 communications. Significant capital investments in our domestic manufacturing facilities have positively impacted our ability to service new and ongoing strong customer demand. 

All three of our domestic pipe manufacturing facilities in Provo, Utah, Coshocton, Ohio, and Phillipsburg, New Jersey, have experienced strong results from the $60M in capital investments. While still in the middle of performing these initiatives, we are continuously evaluating the need for even further enhancements in our facilities to meet future demands and customer expectations.

McWane Ductile has also invested heavily in our people, and our partnership with our Steelworkers' Union is extremely healthy today. For example, our Ohio facility approved a new contract five months before expiration with a healthy wage increase to attract quality, safe, hardworking men and women who are proud to be #IronStrong. Our workforce also works occasional overtime to build inventory as we head into the busier summer construction months.

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