MRC Global InSight

Providing Strategic Supply Chain Solutions

We are proud to serve our customer base and are grateful for the trust that our customers place in us.

Thank you for your commitment to MRC Global.

 

MRC Global is pleased to bring you our November edition of InSight. When we last published in April, oil prices were rebounding to pre-pandemic levels and COVID-19 vaccines were rolling out across the globe. There was a surge of optimism that the world could finally gain stability against the incredible challenges faced in 2020. Just after we went to print, the highly contagious Delta variant of COVID-19 emerged, setting off a new round of travel restrictions, lock downs and supply chain challenges. Although we are cautiously optimistic as we look to 2022, there is still a great deal of uncertainty around how long this wave of volatility will last.

The lingering effects of COVID-19 and the recent onset of infections from the Delta variant have caused considerable difficulties within the global supply chain. As you will read in the following pages, substantial transportation delays are creating capacity challenges and pricing instability, affecting most pipe, valve and fitting (PVF) product costs and lead times. Labor and commodity shortages also top the list of obstacles that industries face. Further, the recovery in global oil demand has been quicker than expected, resulting in decreased supply with inflationary implications. The carbon steel industry has been hit particularly hard, with raw material and commodity prices soaring exponentially. Lead times are extending in nearly every product group.

At MRC Global, we recognize that our role in the supply chain is critical to our customers, and we are working diligently to meet these challenges. Distribution can be an effective solution against a tight supply chain with elongated lead times, and our experts are finding solutions that create value for our customers. MRC Global’s supply chain teams are constantly monitoring the market and making strategic buying decisions to help our customers mitigate against this fluid situation. Our new Center of Excellence teams deliver expert guidance and operational support for major project and turnaround orders. And as our customers begin investing in the energy transition movement, we are committed to supporting these green energy and decarbonization initiatives.

Regardless of market conditions and supply chain difficulties, our customers look to distributors to deliver stability to their projects and assistance in lowering overall supply chain costs.

At MRC Global, our mission is clear: to deliver superior service to our customers around the world and provide innovative supply solutions to enhance our customers’ operations. We are proud to serve our customer base and are grateful for the trust that our customers place in us that allows them to focus on their core businesses. Thank you for your commitment to MRC Global.

Jack McCarthy

Senior Vice President
Supply Chain Management, Quality & Technical Sales

Rance Long

Senior Vice President
Sales & Marketing