The rising tide of raw material prices has accelerated the reshuffle of the household industry
The increase was large and lasted for a long time. The price increase of raw materials in the home furnishing industry has once again attracted attention.
Starting in 2020, raw materials such as steel, wood, glass, sponge, leather, cartons, etc. have been hit by price increases successively, and then spread to the home furnishing fields such as furniture, customization, coatings, sanitary ware (hardware), etc. Since the beginning of this year, the price increase of raw materials has been more pronounced, and news of the closure of furniture factories and price adjustments of enterprises is not uncommon.
The reporter recently interviewed a number of home furnishing companies such as Qumei Home Furnishing, Airis, Simmons Simmons, etc., and all said that they were affected by this price increase and their costs have risen. At present, the price of terminal products has not increased, but the possibility of future price increases is not ruled out. Some companies believe that the price of raw materials will remain high for some time in the future, and will even continue to increase.
Xie Xin, deputy secretary general of the Furniture and Decoration Chamber of Commerce of the All-China Federation of Industry and Commerce, believes that the price increase of raw materials in the home furnishing industry has been going on for many years. For this round of raw material price increases, we should pay attention to it, but we should not panic. The risk that companies most need to avoid is the unlimited amplification of the pressure on raw material price increases. "Raw material prices will cause companies with poor pressure resistance to accelerate out of the game, but the final decision on the result of the reshuffle is still the strength of the company."
The price increase of raw materials is inevitable from the long-term trend. The less raw materials are used, the gradual increase in prices is inevitable unless their use value is lost. However, there should be a limit to price increases, and skyrocketing and falling prices are not normal. The price increase of raw materials is not only this year. Generally speaking, the price increase of raw materials is irreversible. “For this round of price increase of raw materials, we must pay attention to it but don’t panic.” He reminded that the most important risk for home furnishing companies is the increase in raw materials. The unlimited expansion of price pressure, "not all difficulties and deficiencies are caused by the increase in the price of raw materials, do not ignore the cultivation and improvement of the internal strength of the enterprise."
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