First of all, winter season is coming soon, countries to protect the supply of coal, it is the people’s livelihood problem, second, can slow down the pace of China’s exports, rising sea freight, export is too much, too strong demand, export quantity after electricity slowed, cargo ship company will certainly after sale attract less supply of goods, again, is to promote energy-saving enterprises to upgrade.
The price of a product depends on cost, which mainly includes raw materials, labor, financing costs and wastage. Then there’s supply and demand. In the past, foreign demand for China has been greater than supply in the market. Why can’t the price of Chinese products be raised? In fact, what we are talking about is not raising prices, but increasing profits.
The increase of market price is synchronous with the increase of cost, and the profit is still the original proportion. For the terminal foreign customers, even if the price of Chinese products does not rise, the high sea freight price has caused the terminal purchase cost to rise, so they will try their best to lower the purchase price in China. Also, China has too many factories for similar products.