The National Day holiday has finally ended, but during this period, the building materials industry has not rested at all.

I believe everyone has recently received feedback from major beauty grout manufacturers in the field of splitting the sky and covering the groundPrice increase noticeYes, but it's not just about the price increase of grout products. Products that are linked to curing agents and resins have also emergedSkyrocketingThe phenomenon!

Price increase notice from major sewing manufacturers

Moreover, it is not just about price increases, but also more likely to be halted due to a shortage of materials in the futureproduce！

Why is the price of grout increasing so severelyEvenThere may be a possibility of production stoppage and inability to ship？？？

What is the reason behind it? Please continue reading!

The first reason

Firstly, the annual golden September and silver October are often the peak periods of price increases in the building materials industry, with changes in supply and demand, resulting in significant increases in raw material prices. You can refer to the previous year's rise in the building materials industry, where October is the highest point for materials,However, due to power outages and restrictions this year, the actual sales prices have already exceeded the quoted priceAnd how much does the quotation increase? Please see the picture:

▲ Raw material trend chart

The second reason

The "dual carbon plan" proposed by the country in September 2020 has been officially taken seriously by the country after the third quarter of this year due to the excessive electricity consumption. The launch of the dual carbon plan is actually for two reasons. On the surface, it is aimed at implementing carbon neutrality, but it is closely related to China's economy. Please see the following:

What is the 'dual carbon plan'?

Firstly, what is“Dual Carbon Goals”The dual carbon plan is“carbon peak”And“carbon neutrality”. The meaning is that we need to achieve carbon peak by 2030 and carbon neutrality by 2060. Carbon peak means that we will reach a peak in carbon emissions by 2030, start reducing carbon emissions after 2030, and reach "zero" emissions by 2060. What is zero emissions? That is to say, the speed of air purification of carbon dioxide reaches the speed of carbon dioxide emissions, so that the carbon dioxide emitted by oneself is purified and neutralized, becoming a "zero" emission.

Why do we do this? Scientists have shown that global warming is becoming increasingly severe. If the average global temperature rises by another 2 degrees, the world will no longer exist. Therefore, Europe implemented this plan a long time ago,It sounds like a good thing, benefiting humanity, right? But this is just a superficial phenomenon, and it actually has a lot to do with our country's economy.

Existing internal and external concerns

Since the beginning of 2020, China has become the first country in the world to experience positive economic growth due to the pandemic. Of course, this can only be achieved in our socialist country. While restoring the scale of large-scale production, we will certainly face jealousy and envy from foreign powers. In order to prevent China's development, developed countries will definitely implement a strike plan on our economy, and "coal" is one of them. In the early days, developed countries were desperately developing heavy industry, leading to excessive carbon emissions. After China became the world's largest manufacturing and heavy industry country, other countries began to form the G8 "group" to limit the carbon emissions of developing countries. Coal is only one part of it, and its main role is to generate electricity,As early as the beginning of 2020, the country lost 0.1 yuan per kilowatt hour of electricity we used, until this year with the rise in coal prices (trade war), the loss has reached nearly 0.2 yuan per kilowatt hourThe country originally thought that during the epidemic, everyone had suffered a lot of losses and finally recovered from the epidemic, so they would turn a blind eye and let everyone develop peacefully. However, they did not expect that this would become an advance warning of a catastrophic disaster for many Chinese companies!

(Data source: National Bureau of Statistics)

▲ The national coal profit situation began to experience negative growth in 2019

Reason:

What are other countries doing while our country is overloaded with production?? Crazy printing of currency!! When the United States did not restore its production capacity, it used its dominant position in the US dollar to treat China as its private factory, and the crazy printing of currency did not cause inflation because the money it printed did not circulate to its own country, but flowed into our country. However, our manufacturing industry started to reduce profits and compete with each other in order to compete for export orders. The increase in orders requires increasing production capacity and expanding production scale. Currently, foreign countries have not resumed production. If the supply and demand relationship changes after resuming production, these enterprises will suffer a catastrophic disaster. Will our country let them succeed? Obviously impossible.

Power outage and restriction!

Speaking of carbon neutrality,Residential electricity accounts for only 12% of the total electricity in the country, while industrial electricity accounts for 74%So we definitely need to start with industrial electricity,Power rationing not only reduces industrial electricity consumption and carbon emissions, but also reduces production capacity, which can cause all raw materials to rise and ensure the price of finished productsEven if everyone's order volume may decrease slightly now, at least we can ensure that we can save our lives in the event of a reversal of supply and demand in the future, killing two birds with one stone.

The main focus of the price increase of grout is:

As for Jiangsu and Guangdong, which are pilot areas for power rationing, as the first to implement power rationing, the manufacturing industry is also the first to be affected,Most of the raw materials used for grout are from Jiangsu and Guangdong provincesIf the production capacity of raw materials is affected, manufacturers in the manufacturing industry will face difficulties and begin to raise prices crazily, hoping to obtain raw materials first. However, the current situation isThe actual selling price has long been much higher than the market priceYes, in the marketThe quoted price is only 37300 yuan/ton, but in reality, it has already exceeded the 40000 yuan markEven if it breaks through the 40000 mark early, it is still in short supply.

So based on the current situation, it is unlikely that grout and other chemical products can recover to their previous low prices in a short period of time. At this time, we can only cater to the national development direction, improve our professional level and services, and treat customers accordingly.

And it should be noted that some unscrupulous merchants may use harmful substances to replace raw materials and sell low-priced products. It is important to pay attention to this and not get into trouble without making money. This is particularly crucial, just like in 2020, if you have goods at home, don't panic.

Here is Summit News. If you want to know more about the reasons behind it, please pay attention to Summit official account.