Parts prices have become a major trend, more enterprises may join

Affected by the overseas epidemic situation, enterprises in the automobile supply chain have been shut down in a large scale, and their production capacity has been reduced, and the supply and demand of many key raw materials and parts are out of balance. Therefore, some parts enterprises have raised the prices of their products recently, and domestic auto parts are ushering in a new round of price rise.
Supply and demand imbalance caused by epidemic situation
In April, the domestic auto market has further recovered, while the overseas market is still deteriorating due to the continuous spread of the epidemic situation. Many automobile enterprises and parts enterprises have to extend the shutdown time repeatedly. If the factory is shut down for a long time, the result must be a sharp drop in production capacity, insufficient supply and loss of profits.
However, on the other hand, the enterprise still needs to continue to pay various aspects of operating costs, such as employee wages, additional operating expenses brought about by the epidemic, etc. in addition, there are also signs of rising prices of upstream raw materials, which further increases the operating pressure of parts enterprises. Under comprehensive consideration, some suppliers also began to implement price increases on their products to minimize the negative impact of the epidemic.
According to a survey of nearly 1500 people recently launched by Gasch automobile, nearly half of the participants said that their enterprises had experienced price increases from suppliers recently, and 27% of participants said that their companies had not experienced price increases from suppliers in the near future. These participants come from different automobile supply chain levels, such as vehicle manufacturers, Tier1, tier2, and raw material manufacturers. Their business covers vehicle manufacturing, interior and exterior decoration, chassis, powertrain, three electric systems, automotive electronics and other fields. This means that there are price increases in many parts of the automobile supply chain.
Radisson intelligence, a domestic lidar start-up company, said recently that affected by the epidemic situation abroad, the company has successively received notices that the supply of raw materials has been reduced and the price has increased sharply by 20% – 50%. According to an internal information released by Radisson intelligence (suspected) from its supplier Aerospace Group, due to the continuous spread of the epidemic, some overseas factories of some enterprises have stopped production, and some products are under great pressure. In addition to the price rise of manufacturers, there are even users who spontaneously raise prices to compete for the spot goods in the market, including the goods in the hands of channels and the spot goods of factories. The situation is grim Plaques.
In the field of tires, several tire brands, including Sumitomo rubber, Michelin, Goodyear and Pirelli, have also issued price increase statements to try their best to reverse losses. Among them, Sumitomo rubber has increased the tire price in North America by 5% since March 1; Michelin announced that it will increase the price of passenger car tire in North American market by 5% since March 16; and Goodyear will increase the price of passenger car tire in North America market by 5% since April 1.
The above-mentioned enterprises have been greatly impacted by the epidemic. For example, Michelin announced the temporary closure of factories in Spain, France and Italy in March, and recently implemented a pay cut at the top of the company to cope with the negative impact of the epidemic on the company. Goodyear suspended tire production and retreading operations in Europe, North America and South America.
The market price of automotive electronic components has also fluctuated significantly recently. It is reported that at present, the price of MCU and other electronic components for automobiles has generally increased by 20-30%, and some of them have even increased by more than twice. MLCC (chip multilayer ceramic capacitor) is an essential basic electronic component in automotive electronic circuit. Japanese manufacturers have obvious leading advantages in this field, especially Murata of Japan, whose global market share exceeds 25%, followed by Samsung Electric Co., Ltd. of South Korea. In this epidemic situation, Japan and South Korea were also relatively seriously affected. Many semiconductor enterprises were forced to stop production, and the supply of related components was in short supply, which exacerbated the price rise trend. It is reported that at the end of March, Guoju, the leading MLCC leader in China, has raised the price of channels. In addition, Fenghua high tech, the leader of passive components in China, has also raised the price before.