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You might need the steel/aluminium pickaxe, otherwise the dissasembly of the regular loot provide you, additional to the storage crates, with everything you need to craft your desired Tier V gear.
Afterwards you can calibrate, or try to get your prefered build from the wishmachine.
This might improve your crafting for efficency.
Also durability does not affect effectivenes, only 0/100 equipment is a problem.
Issue with this is, that the areas you are questing/playing in might not provide you with the necessary materials for repairs, so you have to return to the higher lvl areas from time to time.
Try looting the city (Blackfell) in a team a few times.
Then you get everything you need for a while.