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    Micro observation: 2021 sewing machine start (supply chain)

    January 25, 2021
    PViews:2031

    The exogenous impact of the epidemic in 2021 and the structural pressure of de-globalization are superimposed, and the construction of a dual cycle is becoming an important measure for China to build up its competitiveness. In this context, the sewing machinery industry in the post-epidemic era is facing reconstruction The new pattern will create realistic opportunities and challenges for industry competitiveness. In order to objectively reflect the current development status of China's sewing machinery industry, the association reporters will have a concentrated and in-depth understanding of each link in the industry chain in the near future, and will present new changes and new characteristics in key stages of the industry through a series of reports.

    With full-load production and continuous supply exceeding demand, from the beginning of 2021, manufacturers at the upstream supply chain end of the industrial chain such as sewing mechanical parts and electronic control are in full swing. Recruitment advertisements have become normal in the circle of friends and working overtime. The new change of "under pressure and hope for growth" has become a phenomenon-level event at the beginning of the supply chain of China's sewing machinery industry in 2021.

    Raw material prices rise

    Based on the feedback of dozens of parts and components and electronic control companies interviewed, on the one hand, the prices of various raw materials have risen rapidly in the past two months, directly pushing up production costs; on the other hand, insufficient voice and competitive pressure have caused Enterprises dare not to raise prices lightly. "Although the price of raw materials has risen, the cost of products has directly increased by about 5%, and some companies have even reached more than 10%. However, the shortage of production capacity caused by the shortage of employees has not been effectively solved, and the supply is still in short supply." 'Going to raise prices' is very likely to cause damage to market share, and the gains outweigh the losses."

    The data shows that the steel composite price index climbed from 4332.59 in mid-October 2020 to the highest of 5530.2 on December 22, 2020; the Shanghai aluminum main chain index rose from 14825 in early November to the highest in December 16925; the Shanghai copper main chain index From 51070 in early November, it rose to 60680, the highest after New Year's Day. In addition, the prices of raw materials for plastics and electronic components have also seen significant increases in the past two months.

    In addition to the pressure of the direct increase in raw material prices and the impact of policies such as environmental protection and emission reduction, according to a notice issued by a component outsourcing processing company, "Due to ... the shortage of employees and the substantial increase in production costs such as labor costs, since January 1 The price of rough billets will increase by 10% per set."

    As a community with a shared future for the industry, the high-quality development of the whole machine is inseparable from the support of the "strong foundation" on the supply side, which has long become the consensus of the industry. In recent years, more and more complete machine companies have begun to pay attention to protecting the rights and interests of supply-side enterprises, seeking coordinated and complementary development, and the overall integration relationship tends to be sound and orderly. Some complete machine companies believe that in the future, based on changes in source costs, in accordance with market rules, create a more timely and reasonable supply-side purchase price fluctuation mechanism, and conduct industry chain transmission, or will promote a new industry in the sewing machinery industry in the new era and new changes. Further construction and improvement of the system.