MagnaBlend
BAL
August 2026
WAIT
PLAN
Demand Certainty
Zero percent demand certainty warrants a wait-and-see approach through early Q3 to allow customer orders to materialize before committing to supply.
Wait for demand to firm up before sourcing
Only 0% of demand is from firm contracts. Monitor and re-evaluate as contracts are signed.
Reasoning: MagnaBlend demand at Baltimore is entirely forecast-based with zero firm commitments, creating unacceptable sourcing risk. Recommend deferring the 85 ST procurement until demand visibility improves or customer commitments are secured.
Risk:
100% of the 85 ST requirement is unsourced and dependent on uncertain forecast signals. Proceeding without firm demand exposes inventory and working capital to demand volatility.