The high cost of furniture manufacturing costs soared in the market "indigestion"

Due to various reasons such as the rising prices of raw materials, the reduction of the export tax rebate rate for furniture, the increase in labor and sales costs, in the first half of this year, the prices of furniture in Guangzhou, Shenzhen and other major cities in the Pearl River Delta have seen a new round of rise, especially furniture accessories and beds. Pads, sofas and other products. Compared with the same period of last year, the prices of furniture raw materials and labor have increased by 10% to 30%, and the furniture prices of various grades have also risen to varying degrees. Many consumers have reported that “Since July, many products for furniture and building materials have not changed in price, but the sales discount has been reduced.” It is reported that the price of furniture interior materials, such as aluminum and stainless steel used in hardware. The price of chemical materials such as paints and glues is the main factor affecting the fluctuation of furniture prices. Manufacturers: The general trend of furniture price increases If the price increase of furniture at the end of last year is somewhat implicit, it is more reflected in the fact that it is not easy to discount, the reduction of concessions, etc., so the furniture price increase since the first half of this year is obvious. It is understood that the trend of price increases has now swept through most of Guangdong's furniture products. Compared with the same period of last year, the price increase of wooden furniture has exceeded 10% this year. On the issue of rising and not rising and rising, the furniture manufacturers may feel deeper than the distributors. Many furniture manufacturers in the Pearl River Delta said that they will continue to adjust prices in September and October to cope with rising raw material prices, which will increase by 10% to 15%. Wang Hunt, the executive secretary of the Dongguan Famous Furniture Club, said that under the pressure of rising costs, “some small furniture companies have closed down.” In addition, as a labor-intensive industry, labor costs are one of the main factors in the overall price of the furniture industry. . The new "Labor Contract Law" was officially implemented on January 1 this year. Enterprises must pay five insurances for their employees, including unemployment, unemployment, work injury, maternity and medical care. This has undoubtedly increased the labor costs of furniture companies, and the already very meager profits will be forced to “shrink” due to the increase in labor costs. Many people in the industry believe that the tight supply of wood and rising prices in the next 10 years will be the overall trend of the industry. The domestic furniture industry is facing continuous and huge cost pressures. In this regard, Zhu Changling, vice chairman of the China Furniture Association, said: "The shortage of resources, rising prices of raw materials, the price increase of household products including furniture is a big trend in the future." Store: Study how to absorb the price increase factors, the major stores have already felt the raw materials. The pressure brought by the price increase has taken various measures to cope with the trend of price increases. Xu Jiayong, manager of the shopping mall of Liwan Bay Furniture Expo Center in Guangzhou, revealed that due to the rising prices of raw materials and labor, the ex-factory price of furniture products sold in the mall has been raised by 15% to 20%. Among them, the price increase of mattresses, sofas, and home accessories products is the most obvious. However, the retail prices of major home furnishing products in Guangzhou have not changed much. Not only that, with the arrival of a new round of building and renovation peaks in July and August, some promotional programs have been implemented in major home building materials stores. In addition, various hypermarkets also adopt a variety of promotional methods such as combined sales, stabilize commodity prices, and strive to digest cost increases. "The situation of sharp increase in furniture products in the second half of this year will definitely not happen in JSWB." The person in charge of the marketing planning department of Guangzhou Jisheng Weibang Home Expo Center said, "The retail price of our home products is stable for a long time, even if the adjustment is generally 10 The benign increase below %. It is reported that the large-scale brand home store represented by Jisheng Weibang has certain control mechanism for the price of merchants' products, and resolutely resists the unfair competition behavior of “virtual high price + ultra-low discount”. It will be banned.

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