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| Raw material costs continue to rise this year's trade Zhangshengyipian |
| During the fair, the household electrical appliance enterprises to improve value-added products in order to attract customers, LCD TV have joined the 3D human action recognition and other new technologies. Zeng Qiang photo
The minimum wage rose 20 percent over last year, more than double the price of raw materials within a year, the exchange rate of the RMB against the U.S. dollar from last year’s 6.8 to 6.3 today ... past stagger all the rising costs, and now all at once placed in the export manufacturing enterprise front. Under pressure, the 110th Canton Fair "going up" one.
Reporter yesterday learned from the 110th Canton Fair site, most of the manufacturers in this year’s trade offer of buyers increased by 5% to 20% compared to the same period last year, has always been the cheap goods "Made in China" for some International buyers are prohibitive.
- Rising costs
Vendors have no choice but to raise prices
The reporter scene in the 110th Canton Fair interview dozens of enterprises in the different sectors of household appliances, building materials, lighting, etc., and the person in charge said the sharp rise in raw material and labor invariably lead to the cost of the "Made in China" has recently been rising significantly.
Electric Co., Ltd. Zhongshan Xiangji products at the show is based, range hoods, water heaters and other metal copper to occupy a considerable proportion of the cost of its raw materials. The company official told reporters that the first half of this year, the international price of copper has been running high prices two or three times more than last year, until the end of September, only the callback. The company official said, the show product prices are likely to increase by 10% or so.
Artificial aspects, is located in Ningbo, Zhejiang Huayu Electrical Appliance Group Co., Ltd., the official told reporters that the past three years, the first-line workers employment cost from 1200-1500 yuan a month to more than 2000 yuan now.
The Foshan, HSBC tube abroad vice president of marketing, said Cheng Jiajia, three rising costs of raw materials, labor, and the RMB exchange rate of about 25%, Spring Fair this year, the enterprise has to offer overall increase of 20%.
Chigo Air Conditioning overseas market management department is responsible for the analysis, the industry is now Zhangshengyipian enterprise price increases inevitable, or this year’s profits will be difficult to guarantee.
Oaks Air Conditioning responsible person is being held on-site meeting, focusing on pricing issues. "Do you want to follow prices prices how much are the problem!" The person in charge of the enterprise, told reporters.
Guangzhou Machinery and Equipment Import and Export Company in Egypt, the chief representative of any of the ice is primarily responsible for sales of energy-saving lamps and switch products business in Egypt. Before "in China the product competitiveness depends mainly on the cheap and Italy, Turkey and other countries, the last two years, due to rising raw materials and the appreciation of the renminbi and other reasons, a lot of the high cost of Chinese products, competitive decreased. Ren Bing told reporters complained that "many products made in China have been hard to do."
Ren the ice told reporters, energy-saving lamps, for example, the main raw materials of rare earth from January to March this year, only separated by a Spring Festival Price did give 250 yuan / kg rose to 2,500 yuan / kg, and turned a full 10 times.
Many appliances enterprises have indicated in an interview with reporters, due to rising costs of raw materials, labor, etc., a price increase of 5% -6% of transformers, circuit breakers and other electrical products. If we add the impact of the appreciation of the renminbi, some products even price increase of 10%.
The light aluminum prices this year rose more than 10% of our products can only be followed by price increases. "Wenzhou Great Wall Electric sales manager Qu Pengsheng said. Great Wall Electric is a large enterprise in Wenzhou, and products to the domestic and export markets, mainly in Southeast Asia and other regions, with annual sales of about $ 50 million -6000 million.
- A slight price increase
"Made in China" affected
In prices, the profit margins of many foreign trade enterprises has not improved. Guangdong Shunde Metals & Minerals Import & Export Co., Ltd. is responsible for people complained, In addition to the factors of labor, raw material prices due to monetary tightening, rising interest on the loan, the company’s financial costs are also increasing. "The net profit was only 3-4 points, still getting lower and lower."
Some enterprises insist on not to raise prices. A small cartridge manufacturer said that the merchants of price-sensitive, their only withstood not raising their prices, the pressure of rising costs can only be "passed on" to the upstream enterprises.
Qupeng Sheng said that the Canton Fair opened two days since he found customers less than the first half, the product price increases how much he was a bit worried: "export very fortuitous, our customer base is the middle of the local agents, accidentally can be poached. "
"I intend to use the sixty to seventy dollars to buy a computer, but now manufacturers want one hundred dollars, I think that can not afford a businessmen from Turkey, said they are hesitant in the Canton upper and lower single.
Part of the business people said that the customers due to higher prices and reduced the interest, showing a strong wait-and-see mood - manufacturers in wait and see whether or not to raise prices, mentioning how much price, the international buyers hope the price cuts, it has been waiting for a suitable shot time.
Shandong the neon Wang Electronics Co., Ltd. Deputy General Manager Li Quan Huai said that this year’s trade to the merchants significantly under orders carefully, an important reason why prices have greatly improved.
In fact, since the beginning of this year, prices have been on the "Made in China" competitiveness in the international market had a certain impact.
Japan’s well-known operating cheap goods supermarket Don Quixote Corporation enter Division Zhuqiu Mei told reporters, after the end of the Spring Fair this year, the supermarket and supplier transactions intention have not yet been finalized, the reason is that suppliers prices.
Stephen Philips, president of the Sino-British Trade Association, an interview with reporters, said that many of the nearly two Canton quotations from suppliers has increased quite remarkably, some enterprise products offer even rose by 20% to 30%, which may affect the to European buyers in the procurement plan, they can go to Vietnam, Indonesia, South America and other areas more price competitive procurement, but the advantage of Chinese products is still very obvious. "
- Seeking to respond to
Accelerate product upgrading
Any ice revealed the purpose of their company’s products, general price increases of about 10% is no longer marketable. The Canton Fair, he has basically abandoned the energy-saving lamps, turn to consider increasing the switching devices of proportion. Go the way of high-quality high in the field of technology is relatively simple, the Chinese products still have a chance, but still do, but Europe and other products in the areas of IT products, such as some of the high technical content, he said.
At the same time, some product prices within a short time the market is unable to accept the manufacturers to reduce costs at the expense only to reduce the quality. Energy-saving lamps, for example, many manufacturers began to reduce the quality to keep the cost of the price advantage, a result of "Made in China" reputation is getting worse. Our previous procurement of energy-saving lamps can point three years, three months now broken. "Said Ren Bing.
Coincidentally. Exports is expected to reach $ 45 million this year, the production of building materials AD Deputy Director of the Group’s overseas sales Weng industry Long also told reporters that the group fixed annually to reach 500 million investment in research and development of new products, new products than general product high profits at least three points, but also to encourage customers to increase orders. | | | Source:Ling Hu Clothing (ribbon) Time:2011/10/29 22:43:11 |  |
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