Fluctuating steel prices fastener enterprises face challenges
By iron ore, steel prices rose sharply, driven steel companies have recently raised prices, steel price fluctuations intangible staged repeated, Qi Xiangdong, CISA Deputy Secretary-General at 28, said: "subject to cost and demand-driven 2010, China's steel prices will range in the high shock. "
How to guard against volatility in steel, the potential risk, especially price increases lead to cost pressures, China's fastener enterprises have to face problems. Grim situation in this complex under the Chinese fastener enterprises to respond? Golden Spiders interview a number of well-known fastener business to explore their current condition.
Overall, China's fastener business recovery in the current economic situation was properly take of the situation, it was the third gold spiders generally reflected the development of exhibitors, compared with last year, more orders this year, the industry is relatively optimistic about the future expectations. However, while companies are gearing up a big plan, the fastener business has encountered new problems. With steel prices rising, companies have to face the costs of price increases and profit impact of dilution of the new.
No Xianshida Hardware Co., Ltd., Mr. Miao Jianguo told reporters Golden Spider said: "fasteners have always been low-profit products, steel prices rose frequently brought us a lot of cost pressure. We have orders to delivery a production cycle for the conventional one or two months, steel prices may now be a change in a week, we completely passive position, if steel prices continue to rise will squeeze our margins small fastener company. "
Miu Xiansheng admitted: "forced, we can only choose a certain extent by price increases to maintain the meager profits. Fortunately, the company's sales currently in good condition, because this year's economic situation improved, foreign customers are also required reconstruction some of the stock, short term, relatively high order, coupled with the domestic investment-driven price increases can digest a number of factors. For this year's economic situation, I can only cautiously optimistic. "
"In fact this year and last year the problems faced by different, and the last major financial crisis caused by anti-dumping decline in demand, can be regarded as the amount of problems; this year it is difficult recruitment, materials, exchange rate movements triggered by a series of quality the problem. "Miaoxian Sheng said," This year the whole environment is very unstable, the debt crisis in Europe, the U.S. economic weakness, there is the issue of RMB exchange rate, coupled with the recent earthquakes, volcanoes and other natural disasters, outbreak of ups and downs, too many uncertainties , Anshida can do now is to do fine and stronger efforts to expand domestic and foreign markets, to areas of high value-added direction, to explore a part Anshida the Blue Ocean. "
For the current situation, Zhejiang New Oriental Fastener Co., Ltd. General Manager Mr. Chen Zhengliang have another round of opinions. By iron ore, steel prices rose sharply, driven steel companies have recently raised prices, steel prices staged repeated elusive market volatility, the China Steel Association Qi Xiangdong, Deputy Secretary-General at 28, said: "demand-driven by cost and 2010, China's steel prices will range in the high shock. "
How to guard against volatility in steel, the potential risk, especially price increases lead to cost pressures, China's fastener enterprises have to face problems. Grim situation in this complex under the Chinese fastener enterprises how to respond? Golden Spiders interview a number of well-known fastener business to explore their current condition.
Overall, China's fastener business recovery in the current economic situation was properly take of the situation, it was the third gold spiders generally reflected the development of exhibitors, compared with last year, more orders this year, the industry is relatively optimistic about the future expectations. However, while companies are gearing up a big plan, the fastener business has encountered new problems. With steel prices rising, companies have to face the costs of price increases and profit impact of dilution of the new.
No Xianshida Hardware Co., Ltd., Mr. Miao Jianguo told reporters Golden Spider said: "fasteners have always been low-profit products, steel prices rose frequently brought us a lot of cost pressure. We have orders to delivery a production cycle for the conventional one or two months, steel prices may now be a change in a week, we completely passive position, if steel prices continue to rise, we will squeeze profit margins small fastener company. "
Miu Xiansheng admitted: "forced, we can only choose a certain extent by price increases to maintain the meager profits. Fortunately, the company's sales currently in good condition, because this year's economic situation improved, foreign customers are also required reconstruction some of the stock, short term, relatively high order, coupled with the domestic investment-driven price increases can digest a number of factors. For this year's economic situation, I can only cautiously optimistic. "
"In fact this year and last year the problems faced by different last major financial crisis and the anti-dumping caused by declining demand, the amount can be the problem; this year it is difficult recruitment, materials, exchange rate movements triggered by a series of quality the problem. "Miaoxian Sheng said," This year the whole environment is very unstable, the debt crisis in Europe, the U.S. economic weakness, there is the issue of RMB exchange rate, coupled with the recent earthquakes, volcanoes and other natural disasters, outbreak of ups and downs, too many uncertainties , Anshida can do now is to do fine and stronger efforts to expand domestic and foreign markets, to areas of high value-added direction, to explore a part Anshida the Blue Ocean. "
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