Citing disruptions, True Value adds 1% surcharge
Chicago-based True Value Company is implementing a 1% surcharge on all warehouse orders.
The surcharge will continue through the remainder of 2020, as the company says it is “working through the capacity challenges the industry is experiencing.” A future reassessment will determine whether the surcharge will continue into 2021, the distributor said.
True Value described COVID-19 as a crisis that has “forced all businesses to adapt to a changing marketplace.” It also pointed to “huge surges” in customer demand, especially for the transportation industry.
Here is the text of the Oct. 7 message to retailers:
The COVID-19 crisis has forced all businesses to adapt to a changing marketplace. Huge surges in customer demand have put extreme pressure on many, but the transportation industry was hit especially hard and the impacts continue to be felt. With no end in sight, and the expectation that the surge will continue until at least the end of this year, our end to end supply chain partners are anticipating exceptionally high costs coupled with capacity challenges.
True Value is taking every step necessary to work through the capacity challenges the industry is experiencing. As such, effective immediately, we are implementing a 1% surcharge on all warehouse orders for the remainder of 2020. The surcharge will appear as a separate line for each day’s invoice statement on your statement.
We will continue to work closely with our transportation partners to offer you the best possible level of service and will reassess the need for the surcharge in the new year.
Please reach out to your TAMs with any questions.
True Value Company