Minimize the impact on your business and supply chain from China’s month-long manufacturing hiatus and shipping delays by following these recommendations
Chinese New Year – Think of holidays such as Thanksgiving, Christmas, New Years’, and Labor Day adding up to an official week of public holidays in China, shutting down businesses especially manufacturing plants and factories within the region.
Also known as Lunar New Year or Spring Festival, Chinese New Year is a major holiday celebrated by millions globally, particularly throughout China and Southeast Asia. The festival marks the beginning of spring and most people, especially factory workers in China, will take about a month off from work during this period to celebrate with families, usually out of state. For companies and businesses that rely on production from Chinese factories, Chinese New Year creates a peak season for shipping and operations leading into the holiday week, creating disruptions to the supply chain, and giving logistical nightmares to international shipping.
And of course, even for 2021, the Covid-19 pandemic has brought in a slew of unpredictable situations, making it even more important for businesses to strategically prepare for the delays and remain operating without disruptions during this Chinese New Year shutdown.
With more than half a decade of experience working with Chinese manufacturers, we will provide valuable insights of Chinese New Year’s impact on the supply chain in this article, as well as the best recommendations for managers and business owners to better prepare themselves for the season.
WHEN IS CHINESE NEW YEAR 2022?
Unlike the modern Gregorian calendar, the Chinese lunar calendar dictates when Chinese New Year is. For instance, last year’s Chinese New Year occurred on February 12th; While for 2022, it is February 1st. Here is a quick list of the dates for Chinese New Year in the upcoming years:
- January 22nd, 2023
- February 10th, 2024
- January 29th, 2025
- February 17th, 2026
- February 6th, 2027
- January 26th, 2028
- February 13th, 2029
- February 3rd, 2030
HOW LONG DO CHINESE FACTORIES SHUT DOWN FOR?
While Chinese New Year 2022 falls on February 1st, all Chinese businesses, companies, and factories mostly close from a day to weeks before the holiday and stay closed for a week or even two to three weeks after. It all adds up to a factory shutdown of a total of five to six weeks. While shipping companies are still business as usual and ports are still operating with reduced capacities, goods cannot come out from factories or be delivered to a port or airport as no warehouse staffs are available to handle the shipment. This means that basically, Chinese New Year renders almost an entire quarter in production and shipping limbo.
That is not all: Production tends to be slower for weeks to a month after factories resume operations, playing catch-up on orders placed before and during the holiday period. It is not an exaggeration when you sometimes hear companies finally receiving orders only a month or later after Chinese New Year.
CB SOLUTIONS CNY PURCHASING PLAN – PLAN AHEAD
The Chinese New Year holiday in China completely shuts down all manufacturing for nearly six weeks starting in late January. After years of dealing with unexpected delays in shipping and products due to Chinese New Year, CB Solutions have created the perfect timeline of deadlines to strategically prepare our partners and prevent major disruptions in their supply chains.
OUR TOP THREE RECOMMENDATIONS:
- Adhere to the order deadlines provided in the timeline.
- Ensure order quantities will be enough to sustain until March 2022.
- Contact us and place your order today!
About Canna Brand Solutions
Canna Brand Solutions is an innovative custom packaging supplier and an official CCELL Distributor. We are a wholesale cartridge, battery, and packaging supplier, and more. Our passion to build lasting relationships with our partners motivates us to exceed your expectations, helping you grow your brand in this ever-evolving global industry.
With our deep experience in manufacturing and the cannabis industry, we offer adaptive custom packaging solutions, in-house design, and industry expertise to Cultivators, Extractors, Operators & Retailers.