Having Difficulty Buying a Boat - Here is Why
A record number of people bought their first boat last year. Due to the record sales and a lower supply due to coronavirus-related factory shutdowns earlier in the year, some boat dealers ran out of inventory mid-summer because the demand was greater than the supply.
This scenario is likely to repeat in the summer, as boat builders face shortages of raw materials and parts. In recent weeks, supply chain issues in winter 2020 have been so severe that boat builders have had to either slow down or stop production altogether.
Blame the Arctic Vortex

The Arctic Vortex winter storms brought heavy snowfalls to Texas and freezing temperatures last month, causing shortages this summer. A prolonged blast of Arctic storms froze pipes and knocked down power grids. It also caused major damage to many important factories, including five of the few North American plants that produce propylene oxide. PO, or as it's more commonly known, is an important raw material that is used to make foam used in seat cushions.
Mid-March saw factories still in repair. The existing supply of foam is virtually non-existent, which has caused boat builders, RV makers, and automakers such as Toyota and Honda, to stop production while they wait for their seats.
"The plants that produce the raw material were destroyed, and now there is very little foam available for seating," Phil Smoker, vice-president of sales at Smoker Craft Inc. Phil Smoker is the vice president of sales at Smoker Craft Inc. which builds fishing boats and pontoons under the Starcraft, Sylvan, SunChaser and Smoker Craft brands. Our production was delayed by several weeks, even with the best-case scenarios. Other builders see even more delays.
We are out of chips
It's always frustrating when you run out chips. But it's worse when the chips are computer chips that used to run almost everything. Due to the fact that US security concerns have led to the recent shortage of semiconductors, it was also possible for seat foam production to be destroyed by a Texas snowstorm.
This is a problem for companies that make fish finders and GPS system, but it also has serious consequences for other industries. Nearly everything we create today - engines, radios, appliances and window blinds and sunroofs- requires some form of computer control. This is a problem that affects virtually everything that has a touch-sensitive button or a display panel.
There is so much competition for semiconductors that some companies are paying delivery surcharges up to $40 per piece on chips worth $5. It will lead to a shortage of electrical components for boats and delays in getting them to dealers showrooms as the competition for semiconductors increases.
Shipping is a nightmare
Boat builders face the problem of having to make seat cushions and use semiconductors. There are also shortages in basic raw materials such as aluminum, fiberglass and gel coat stainless steel, vinyl, marine plywood, and vinyl. One boat builder said that they are running out of "pretty nearly everything."
Sometimes it is due to a shortage further down the supply chain. For example, the PO that makes the foam cushions for boat seats or the lack of semiconductors needed to make multi-function displays. In other cases, the problem is simply a shortage of delivery trucks.

There are fewer trucks to transport everyday goods, as the US and Canada mobilize delivery of millions of Covid vaccine doses. This is compounded by the serious drop in truck driver numbers. The trucking industry has lost over 100,000 drivers in the US since last year, due to burnout and concerns about Covid-19. It's becoming more difficult for companies to ship their goods to customers. Boat builders are also having difficulty arranging delivery of critical raw materials. Moreover, builders are finding it harder to get trucks to deliver their finished boats to dealers.
It sounds like a perfect storm for boat shortages, but it's because that's exactly what boat builders and boat dealers are expecting for the summer 2021.
Are you thinking about buying a boat? You're welcome on the water. Don't delay in making your decision. Otherwise, you could end up stuck on the shore.
Visit Our:
Inventory | Parts | Services | Contact Us