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Year after year of rising prices of raw materials, hardware products or general price increases
Date:2017-12-27

Zhejiang Online December 28 hearing Recently, Lin Wenjie, who runs the Pu Xin Hardware Store in the urban Wenzhou Hardware City, paid particular attention to the ups and downs of metals such as copper and zinc. "In the new year, if the price of copper and zinc will not drop down, faucets, locks and other products have price increases, the current purchase price to the manufacturers have been unable to digest this wave of price increases." Lin Wenjie said.

In the first half of this year, prices of copper, zinc and other metal raw materials, which have been in a steady state, rose sharply by the end of October and rose more than 30% once in more than 30 days before falling. As of yesterday, however, the price of copper remained about 20% higher than the end of October %.

This wave of copper, zinc and other metal raw materials rose to copper, zinc more electrical appliances, locks, cables, plumbing and other industries have brought no small pressure, some large enterprises can increase the price of internal digestion, and some small Businesses have introduced price increases to products. Therefore, the market some of the wires, locks and other products have been raised prices.

Copper, zinc and other raw materials prices are still not down

After years of hardware products to price 5% to 10%

Lin Wenjie Pu Xin hardware stores sell faucets, door locks, floor drain and other products, the corresponding product manufacturers have increased ex-factory price, according to the product with copper, zinc and other raw materials rose by more than 5% to 10%.

"Business is not very good in the second half of this year, the current rise is not price does not matter." Lin Wenjie said that if copper, zinc and other raw materials prices are still not down, the final will certainly affect the sale of his store prices, like door locks , Faucets and other products with copper more, after the New Year prices rose at least 10%, some small pieces of hardware products rose smaller.

And Lin Wenjie difference is that selling cable business has gradually increase the price. Wenzhou Hardware City Public Wilson is a metal shop selling wire products such as businesses, the store owner said that since October this year, copper prices rose somewhat similar to 2006, due to a large amount of copper wire, the factory has been raised The price, or 5% to 10%. Therefore, the store's cable products have recently raised the price, but the old customers still according to the original price.

Wenzhou Hardware City, a number of cable business operators have said that they operate the corresponding brand cable products manufacturers have price increases, they have no way not to raise prices, after all, this increase is not small, they themselves can not digest.

Large enterprises to avoid the risk of rising raw materials in different ways

Small and medium-sized enterprises are less affected by the response will be larger

At present, the price of cable products of Xingle Group is about 18% higher than the end of October this year.

"The ex-factory price of our company's cable products is in line with the price of copper, which also raised the ex-factory price." Zheng Li, the general manager of Xingle Group, disclosed that while the company's cable products increased with the price of copper Higher ex-factory price, but relative gain less, mainly due to the use of futures hedging companies to take some forward orders for hedging on futures to ensure that copper and other raw materials locked in a price; the same time, the company Orders take a similar way to the price of gold jewelry stores way - the price of the order of the day of signing the copper price shall prevail.

However, not all enterprises are due to the price of copper, zinc and other raw materials and raise the ex-factory price, Universal Group is a temporary product is not raised ex-factory price of enterprises.

Huang Heyu, deputy manager of the company's supply department, said copper prices have risen 5% -10% in the last two months. For example, the material cost of a small single pole circuit breaker has increased by 0.5 yuan to 1 yuan. "Low-voltage electrical appliances with less copper, the cost increase is not obvious some, high-voltage electrical appliances with larger copper, the cost increase is obvious."

Huang Heyu said that since the sharp rise in copper prices in 2006, the company adopted a variety of ways to avoid the risk brought about by the rapid rise of raw materials: on the one hand, the procurement of raw materials at low prices as part of the inventory, raw materials rose inventory; the other hand, Forward orders, in the contract with the customer agreed to delivery of copper prevail; the other is with copper suppliers signed an agreement, the average monthly settlement price. However, if the raw materials of copper, zinc and other metals remain at high levels, the prices of their products will also be raised early next year.

Stakeholders said that the current round of copper, zinc and other metal raw materials prices, large manufacturers will be more measures to increase the price of the product to be smaller, but SMEs may be less due to the impact will be larger.

Doubt due to rising raw materials copper and zinc futures rose rapidly

Related insiders said that this wave of copper, zinc and other metal raw materials rose, the initiator should be copper, zinc futures rose rapidly, because the economic boom has not significantly improved, the market demand did not increase significantly.

The first half of this year, copper, zinc and other metal futures trend is not much volatility, but from October 25 this year, copper and zinc futures rose sharply, followed by soaring in more than 30 days, the main contract copper futures rose To stage a high of 49,660 yuan, up as much as 33%, while the main period of the zinc futures contract rose even more amazing, reaching 38.45%.

However, subsequent copper, zinc and other metal futures began to decline, until yesterday, the main contract of copper futures closed at 44,630 yuan, up 19.65% more than two months ago; and zinc futures contract was closed at 20260 yesterday, more than two months Up 12% before.

From the past copper, zinc and other metal futures trend, and the metal bull market before and after 2006 when somewhat similar, when the main copper futures contract all the way up to more than 80,000 yuan. Copper, zinc and other metal futures rise, inevitably promote the spot copper, zinc rapid rise. Many enterprises in our city have said that this wave of copper, zinc and other metal raw materials rose is that they did not expect.

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