I am writing to let you know that Hypertherm is experiencing longer than normal lead times for most of our plasma systems. Despite our successful management of lead times for all of 2020, a number of pandemic related issues combined with strong demand led to our beginning the year with a significant backlog.
We understand that this is very frustrating for both you and your customers and are doing everything we can to manufacture and get systems to you as quickly as possible. We are aggressively expanding our supply base to ensure we have the parts we need to quickly manufacture systems. This includes increasing forecasts with existing suppliers and sourcing new suppliers. In addition, we are adding manufacturing capacity by hiring new Associates and adding new shifts.
Unfortunately, these actions are going to take time as most of our suppliers are experiencing the same staffing challenges and material shortages that we are. At this point, we do not expect lead times to stabilize until the second quarter of the year. Until then, we will do our best to prioritize and allocate orders considering factors like order type (customer versus stock replenishment,) emergency situations, and more. In addition, we are placing our Powermax Demo Machine program on hold until further notice to lessen demand.
Currently the delivery time-frame for Powermax30 XP and Powermax30 AIR systems is approximately four weeks longer than normal. This is unchanged from what was communicated earlier this month. The lead time for all other Powermax systems is approximately eight weeks longer than normal. Larger systems such as our MAXPRO200, HPR, and XPR systems are experiencing delays that are six to eight weeks longer than normal. In addition, orders for parts, torches, and consumables may take up to one week to ship.
We will provide you with updates as circumstances change so that you know what to expect and can plan accordingly. You can also access the latest information via the Hypertherm Xnet.
In closing, I’d like to offer a sincere apology for any inconvenience this situation is causing. Please know we appreciate your support and partnership as we navigate these challenging times. If you have any questions, please do not hesitate to contact your Hypertherm sales representative.
Sincerely,
Marco Mostert
Regional Director