Because of the government\u2019s power rationing policy production, the China's wood product sector is being disrupted and output lost which has raised the cost of production.<\/p>\n
The timber industry is concerned as it sees energy cost rising. Coal prices continue to rise pushing up power charges and this is translated into rising production costs as output declines.<\/p>\n
According to a recent survey in Dongguan City, Guangdong Province it was founded that many enterprises in the furniture and flooring sectors are experiencing rising costs of production.<\/p>\n
Dalingshan Town has more than 500 furniture and supporting enterprises. Many enterprises have increased the sales prices of their products by between 8 to 20%.<\/p>\n
The cost increase is due to rising raw material inputs. Prices for paint, wood and other raw materials have increased 25% to 30% since 2020 and this is undermining the profitability of the companies.<\/p>\n
Local experts point out that the price increases are the result of a combination of many factors among which the shortage of imported raw materials caused by COVID-19 and the increase in shipping and transport costs.<\/p>","protected":false},"excerpt":{"rendered":"