One of only two factories that made the product shutting down would lead to scarcity of the product.
Scarcity happens when supply doesn't match up with demand, when the customer's orders outweigh what is been produced there would be scarcity or shortage, in most cases this could lead to the goods becoming more expensive especially with middlemen selling them and taking advantage of the scarcity situation.
One of the greatest causes of scarcity is when a factory or industry shuts down, especially with limited factories producing the same item, the factories left behind won't be able to meet the demand of the market for some time unless they undergo an expansion or new factories arise.
Definitely factory shortage would lead to scarcity, especially when they are limited producers for the same product.
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