Supply Chain Woes Make the Case for Buying Used Material Handling Equipment

The imapct of supply chain disruptions on MHE

The pandemic has squeezed global supply chains, causing distribution and manufacturing issues across many industries from healthcare to lumber to automotive. One particularly problematic issue we’re facing is with semiconductor chips.

Used extensively in electronic circuits, semiconductors power everything including cell phones, toothbrushes, alarm clocks, washing machines, your car’s display screens – and yes, even industrial equipment, like lift trucks. So much of what we use on a daily basis rely on semiconductors to run, and the bad news is we are currently going through a shortage of semiconductor chips.

Supply & Demand

Demand for semiconductor chips has changed drastically over the years as people have purchased more and more electronic devices during the pandemic. Semiconductor chips have typically been allocated more for handheld devices than cars or industrial equipment, but the shortage is creating problems for all. In fact, this disruption in the supply chain has a direct effect on your ability to purchase new forklifts and other material handling equipment, and to make matters worse, the current prediction is that this shortage could last for two more years.

A Strain on MHE

A shortage of semiconductors is just one of the contributing factors to the strain we are seeing on the MHE industry. Ralph Petta, President and CEO of the Equipment Leasing and Finance Association, says “Delays and difficulty in getting equipment units to dealerships, in some part, is linked to pressures in the global supply chains for parts, including semiconductors.”

Because of the shortage, leasing companies are now keeping units for longer, adding more hours to them, and causing the price of new equipment to skyrocket.

Buy Used Material Handling Equipment NOW

Why wait to purchase new equipment, which could take years and end up costing you more? If you’re in need of a new fork truck, then buying used gets you a quality pre-owned at a much better rate.

We currently have hundreds of used equipment in stock at unbeatable prices. View our inventory, and contact us to see how we can help you find the right forklift for your needs.