China Science and Technology Hardware City, prices of mechanical and electrical products rose moderately

The prices of electromechanical products at China Science & Technology Hardware City regained their upward momentum and spread to the downstream parts and accessories industry. The distributor of mechanical and electrical products in Jindu Market believes that in the context of rising raw material prices, rising fuel oil, coal and shipping costs, frequent rain and snow conditions, and tight supply and demand, with the rise in production costs and the increase in operating costs, generators The price of electromechanical products represented by water pumps, electric welding machines, etc. has risen moderately or become a trend in the near future. However, it is not expected that there will be a big possibility of a wide range of shocks around the lunar year.

Since the end of last year, manufacturers have gradually increased the retail prices and wholesale prices of electrical and mechanical products such as generators, welding machines, cutting machines, water pumps, and bench drills. Li Liqiang, distributor of Jincheng Third Street, introduced that “the increase in the price of machinery and electronic products is related to the increase in costs and the tightening of supply and demand. It is also related to the strong inflation expectation and the continuous strengthening of the peripheral mechanical and electrical products market. The year of the rabbit begins in early January, with the price of raw materials. As a result of the rise, manufacturers have made new rounds of price increases for electromechanical products, and as a result, distributors have also raised the wholesale price and retail price of products to varying degrees, such as Taiwan’s well-known brand, Taiwan Diamond, in early November last year. The retail price is RMB 850 per station. After New Year's Day, it was adjusted to RMB 895. In just two months, almost all models and specifications of bench drill products have basically been increased by more than 5%. Another example is a brand of electric welding machine last year. In mid-November, the retail price of the market was 1,150 yuan per unit, but it has recently risen to 1,265 yuan, a full increase of 10%. Although other durable consumer goods did not increase much, generally only in the range of 5% -10%, but Sensitive consumers and downstream buyers have already smelled the rising breath. They are screaming that the price of electromechanical products has started to rise since the beginning of the new year. Kind.

Wang Mo, a dealer who operates air compressors on the Third Street, said without hesitation: The accelerated increase in labor costs in 2010 caused a sudden increase in cost pressures in all labor-intensive industries, coupled with rising raw material prices, increased operating expenses, and Product prices tend to rise and fall, and many other factors combined, it is expected that the prices of electromechanical products will show a moderate upward trend in 2011. In fact, this situation, the rabbit at the beginning of the year has been reflected in all aspects of the hardware industry. In terms of mechanical and electrical products, electric welding machines, cutting machines, and air compressors are used as raw materials, and manufacturers have a high proportion of cost pressures. The electromechanical manufacturers have been plagued by soaring raw material prices. Stainless steel and copper materials The increase in materials such as zinc, plastic, and zinc has basically touched the bottom line of the cost price of the electromechanical industry. Therefore, in desperation, major electromechanical manufacturers in Wenzhou, Taizhou, Guangdong, Shanghai, Jiangsu, Zhejiang and other provinces (cities) have increased the ex-factory prices of electromechanical products, resulting in market wholesale prices and retail prices. The whole line is up.

Jincheng Fifth Street dealer Chengmou analysis, "although consumption decreased before and after the Spring Festival, but the production and supply also followed a decrease, coupled with the recent cold weather throughout the country, a large area of ​​drought and other natural disasters, the impact of mechanical and electrical products prices have risen moderately The momentum is expected to be very difficult to fall in the short term. However, some electromechanical products with large gains in the early period are expected to experience turbulence after the Spring Festival comes back.” At the same time, the ex-factory price increase of electromechanical products has become increasingly conductive to the downstream, and the price increases gradually toward spare parts. Conductive products, including fasteners, aluminum wire for copper wire, motor rotors, bearings, and other accessories, have risen almost entirely across the board, putting pressure on domestic inflation. The dealers also commented that the price of mechanical and electrical products soared. The most influential factor was whether they were middlemen. Raw materials rose. For survival and development, the ex-factory price will undoubtedly increase, but it will be higher than the ex-factory price increase. Retail prices and wholesale prices are much faster than factory prices. One is that it is difficult for the downstream buyers to accept the facts for three days and one price in time. The second is to maintain the original market share. Many dealers often prefer to lose part of their profits rather than give up their hard work. . Therefore, the upstream manufacturers are required to stabilize the buyers by supplying downstream products on time, and the dealers on the days of price increase really have a hard time. When interviewing the market, the reporter also encountered complaints from buyers that some distributors in the market had the opportunity to increase the ex-factory price of production companies, and they also took the opportunity to raise the retail and wholesale prices in the market, and the price they raised was much higher. The factory raised the price. The reporter believes that the credibility of the market is not formed overnight. In order to maintain a good image that has been formed, the dealers must pay attention to the overall situation and not only lose sight of the immediate profits but lose long-term interests.