Hi Everyone. Hope you’ve all been well. To start this update abruptly, production is moving more slowly than we’d like and we’re going to talk about it. We’re going to be transparent with what’s slowing us down, and more importantly what we’re doing to fix it. 

At the end of the day, these are speed bumps. We have produced the first tables using all production components, and they exceeded even our high expectations. I hope you’re all thrilled when you receive your tables, and we’re doing everything we can to get them to your door as quickly as possible. 

The Magnet Wars? 

In retaliation for Trump’s Liberation Day tariffs, the Chinese government placed export restrictions on rare earth minerals. This is especially effective, because many of these materials only exist and/or are only refined in China. This was meant to target defense and automotive industries. Unfortunately for us, magnets are a rare earth minerals, and our small sand table business was affected. 

• To fix this we’ve found multiple alternative suppliers. Fortunately, we need a relatively small quantity of magnets, and we’ve already found a new supplier that can produce what’s needed for all of your tables. 

Increased Shipping Times

To enforce export restrictions the Chinese government also significantly increased inspections of exported goods. We are making the Oasis Tables in Vietnam, but many of the parts for the tables can only be made in China. Typically the customs inspection process when we cross from China into Vietnam takes about a day. With the new restrictions, our last truck carrying materials for the tables took 15 days to be customs cleared. 

• To fix this we’ve placed large purchase orders for all materials inside the Oasis Tables that are associated with longer delivery times. Many computer chips and other parts inside of the tables take 6 weeks or more to receive, and we have placed orders for all of those parts far in advance to reduce the impact of customs-related delays. 

Additional Tariffs

A few weeks ago the Trump administration doubled existing tariffs on Steel and Aluminum from 25% to 50%. This was a little more unexpected, and the consensus is that this will significantly increase metal costs for US customers. We spared no expense with your tables, and they do use quite a lot of steel and aluminum to ensure that everything is robust and long-lasting. 

• To try and mitigate tariff impact we’re evaluating alternative material options for a short list of metal components. There are many things that have to be metal like the steel table legs, but some things can be changed without affecting quality. So far this effort has gone well, but it does mean that we need to kick off a new lifetime testing process for the changes. We thoroughly test all components to ensure they’re stable and long-lasting. 

Whew, okay that’s the end of the speed bumps. It’s not the news I want to give, but the chaotic nature of the current trade war has meaningfully slowed us down, and we need to revise the timeline. Our best timeline projections as of today are: 

• Beta tables ship by mid-July (testers selected and notified by end of next week)

• Coffee Tables ship in August and September

• Side Tables and all remaining orders ship by end of September

These are some understandably disappointing changes, and we’re pretty unhappy with them as well. Our team is working around the clock to get these delivered as quickly as possible without sacrificing on quality. We have team members in the US, Brazil, China, and Vietnam, so the sun never truly sets on production. 

New samples of the Oasis Side Table Walnut shell

On the production front, a lot has happened in the last month despite challenges receiving materials. We’ve built several sets of the core mechanics and have them undergoing lifetime testing. We’ve implemented computer vision algorithms that inspect all of the tables coming off the production line to ensure the motors and gantry are functioning properly. We’ve received a new test batch of the wood shells from our supplier, and they’re looking great! 

Racks of Oasis Table mechanics preparing for lifetime testing

The impact of the trade war has been unfortunate, and I hope that the volatility settles soon, but for now our team is doing well at navigating the waves. We’re doing everything we can to reduce the timeline impact and are eager to get the Oasis Tables to all of you as quickly as possible. Thanks for sticking with us, we’re honored to have you along for the journey! Our small but mighty support team is the best point of contact for any order-related questions, and our email is support@grounded.so

Best, 
Zach