Wednesday, April 9, 2008

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Consumer electronics prices across the board will be going up this year. What’s the reason this time? China.

What’s wrong with China? A “perfect storm” of higher costs that will drive up the price of CE manufacturing there.

The exchange rate between the U.S. dollar and the Chinese yuan has gone down since the beginning of the year;
Labor costs have increased 15 percent due to new labor laws in China;
Raw-material costs, from plastic to electricity to copper and others, are all up. Unlike previously when “one or two components would increase in price,” costs are increasing for all components;
The economic downturn has hurt volume;
Many Chinese factories lost money last year, and some factories have closed down, causing production delays;
There are labor shortages in China, believe it or not, because factories are moving “further and further away from the southern part of the country where many of those factories used to be located;
And, of course, higher oil prices have increased shipment costs to the United States and Europe.

This is the time where Europien manufacturing becomes a new changes, one of these is the german Audio System manufacters.
Most of the Europien retailers selling these products Auto-Hifi Car Hifi Powernetshop at - Details

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