Just after the Spring Festival holiday, there is heavy news: According to a report released during the Spring Festival of Platts Industry, although the Chinese government has been trying to maintain a 30% increase in this year’s annual price negotiations, China’s largest Five steel mills, including industry chief negotiator Baosteel, are close to agreeing that the 2010-2011 iron ore annual contract benchmark price will rise 40%, but it is clear that the 40% increase is too conservative for mining giants.
China's imported iron ore prices have risen by 30% to 40%. In 2010, domestic steel prices will rise again. And this may also bring cost pressure to China's construction hardware companies. In 2010, the price of iron ore has certainly not been able to maintain the original price, and the increase will not be small, the domestic steel market is bound to face a new round of fluctuations, because a large part of the construction hardware products are various Steel products are raw materials, so the rise in prices of raw materials such as steel is likely to increase the production costs of China's construction hardware companies.
It is understood that most of China's construction hardware companies are export processing or OEM-type enterprises. The products are relatively low-end, the added value is not high, and only a low labor cost to earn some profits, the ability to withstand cost risks is very weak. In fact, when steel prices ushered in the first round of gains in the past few years, it caused a large-scale price increase in construction hardware products. However, in the current situation, the financial crisis has just improved. The overseas orders of various construction hardware companies have just begun to recover, and they will face a sharp rise in raw materials. This is undoubtedly bad news.
Faced with this situation, China's construction hardware companies should start from the product market and sales channels, strive to get more orders, and obtain more profits to offset the increased costs. To expand sales channels, we must go out and find opportunities to directly face more potential customers and buyers. How to make construction hardware companies successfully cope with cost pressure is a question that current people are thinking about.
China's imported iron ore prices have risen by 30% to 40%. In 2010, domestic steel prices will rise again. And this may also bring cost pressure to China's construction hardware companies. In 2010, the price of iron ore has certainly not been able to maintain the original price, and the increase will not be small, the domestic steel market is bound to face a new round of fluctuations, because a large part of the construction hardware products are various Steel products are raw materials, so the rise in prices of raw materials such as steel is likely to increase the production costs of China's construction hardware companies.
It is understood that most of China's construction hardware companies are export processing or OEM-type enterprises. The products are relatively low-end, the added value is not high, and only a low labor cost to earn some profits, the ability to withstand cost risks is very weak. In fact, when steel prices ushered in the first round of gains in the past few years, it caused a large-scale price increase in construction hardware products. However, in the current situation, the financial crisis has just improved. The overseas orders of various construction hardware companies have just begun to recover, and they will face a sharp rise in raw materials. This is undoubtedly bad news.
Faced with this situation, China's construction hardware companies should start from the product market and sales channels, strive to get more orders, and obtain more profits to offset the increased costs. To expand sales channels, we must go out and find opportunities to directly face more potential customers and buyers. How to make construction hardware companies successfully cope with cost pressure is a question that current people are thinking about.
Dry Floor Fountain,Musical Fountain,Outdoor Water Features,Music Dancing Fountain
Guangzhou Dewy water fountain Technology Co., LTD , https://www.dewyfountain.com