News

Home improvement industry costs rose to open the "price" behind the factors

At the beginning of 2017, the domestic, including home improvement market, including many industries are in a "up" sound along the way, especially with the new buyers of the most closely related consumer goods industry, the overall increase of 20% to 30% With the volatility of the market, and some consumers choose to wait and see, which led to the decoration industry in the first half of the season ahead of time and lasted for a long time

As for the topic that has been repeatedly mentioned by the media in recent years, we have been calmly analyzing in an objective and impartial manner, revealing the development of the industry behind the "price increase".

Home improvement industry, the overall cost of growth

In September 2016, the state introduced new regulations, especially with the home transport of raw materials related to the most stringent "limit order" introduced, a direct result of the industry logistics costs rose, or up to 30%. The entire building materials industry, the cost of the industrial chain has emerged a structural rise, such as sheet metal industry, such as large shipments, net profit margins of the industry, companies can not alone bear the pressure of rising costs.

Standing on the whole industry, floor, sheet, wood, cement, sand, paint, plastic, metal, wire and other building materials and accessories are price increases, or between 8% to 40%, of which stainless steel gains Even up to 40%. In addition, soft furniture-related furniture by the upstream raw materials and logistics prices are also rising in varying degrees, the industry rose about 20%.

In addition to the increase in the cost of freight and materials, labor costs is also a substantial increase in home improvement costs a major factor. As the social prices of broad based, the actual cost of renovation workers to increase the cost, coupled with the renovation of skilled workers is still relatively scarce, especially young workers hard to find, so workers wages also followed by rising. The average daily wage to 250 yuan to 280 yuan, after 180 yuan to 200 yuan, and then the tiles are generally tiles of 25-30 yuan / flat, and now tiles can reach 40-45 yuan / flat; ; Skilled workers, but also on this basis, floating up to 15% or more.

Buy direct from china factory wood bar stool with soft pad bar stool accessories

The impact of rising prices on the home sector

The rise in domestic raw materials is mainly affected by rising labor costs, increased logistics costs, industrial restructuring, exchange rate fluctuations and national policies, among which policy and logistics are the most critical.

The upstream raw materials and logistics costs, home improvement market, labor costs and other factors will have a direct impact on the domestic industry, and earlier this year, the introduction of the national iron fist pollution policy with the history of the most stringent environmental protection inspection team, in many areas for home As well as building materials enterprises to investigate and deal, have increased the burden of the home industry.

In this industry situation, the stronger the stronger, the weak the weak. Data show that in 2016 the domestic industry above the scale of the main business income growth of more than 20%, profits rose about 15%, and profit growth is greater than the output by blessing, business efficiency has improved. In contrast, the development of small and medium enterprises increasingly serious situation, industrial reform to enhance the speed.

Home business prescription drugs, to cope with rising

Since the short-term rise in the situation is clear, how to deal with changes in business and industry? Is to flee the manufacturing industry, or find him another way? Home business, home raw materials business, the need for the right medicine.

First, to cope with rising logistics costs, long-distance transport for the short-distance transport is the key. At present, China's domestic industry has formed a clear pattern of regional cluster development, corresponding to home manufacturing, logistics, marketing and other industrial chains have to complete the cluster, so as to optimize the industrial configuration, reduce logistics costs and improve industrial efficiency.

Second, to adapt to industrial restructuring, accelerate the transformation and upgrading of industry is the key. Sponge is a substantial price increase, the state of high-polluting enterprises is the direct cause of heavy blow, which behind the country to eliminate backward production capacity of low-end determination, therefore, to accelerate industrial upgrading will help raw materials and home industry win-win situation.

Third, China's domestic raw materials, although there are imports, but most still rely on the domestic market, especially the whole industry chain of raw materials industrial park, to support the surrounding and national household industry development of the important driving force, therefore, China's home materials industry is also an urgent breakthrough.

Fourth, strengthen the industrial engineering management. Industrial engineering can significantly reduce processing costs, improve production efficiency and reduce staffing, with little or no increase in business input. Industrial engineering can alleviate the rising cost of home enterprises in terms of current industry trends.

Industry or usher in the opportunity to upgrade the upgrade

In 2017, China's home industry reshuffle will continue, in this "supply side of the structural reform" as the leading economic transformation trend, the "pain" is a necessary stage, and after the reshuffle of the market competition will be higher , Industry development will be more healthy. As the cornerstone of the home industry raw material industry, only a clear positioning, accelerate the optimization of industrial layout, standardize the industrial environment, China's home industry can take advantage of the transition, sustainable growth.

NEWS-www.ajpartnerfurniture.com