Well I be bloggerd!
Saturday afternoon and I'm sat here doing a raft of price up-dates, nice, not!
The letters from suppliers have been flooding in recently in unprecedented numbers all with a similar tale to tell. You may or may not have seen or heard on the news recently of the drastic hike in the value of scrap steel/iron as a result of China vacuuming the Worlds supply to feed its ballooning industry. Well it seems that UK manufacturing is playing catch up real quick, and these costs are being passed down the chain at an alarming rate. I have some of these letters in front of me and I quote some relevant bits,'Stainless steel for instance has increased in price by over 30%'. 'Over the past 3 months we have been bombarded with price increases'. 'The price list enclosed includes a 4.9% increase that purely recovers the cost impact of recent steel price increases' and more worryingly,'Since finalising this increase we have been advised that steel prices will increase by a further 20% from July 1st, with yet another increase due in September'.
What effect will all of this have on you the customer? Well without doubt you will start to notice a broad range of price increases as most if not all the parts in your car have some steel content. Worst hit will be panel work, and that's already started. Some retailers may be slower than others to pass on the inevitable, they may be sitting on stock, or as second tier suppliers they might not be dealing directly with manufacturers so might still be unaware of the forthcoming storm!
The moral of this story, if you are planning any major bodywork in particular, get your panelwork real quick, after comparing prices of course.
Don't say I didn't tell you so!
The letters from suppliers have been flooding in recently in unprecedented numbers all with a similar tale to tell. You may or may not have seen or heard on the news recently of the drastic hike in the value of scrap steel/iron as a result of China vacuuming the Worlds supply to feed its ballooning industry. Well it seems that UK manufacturing is playing catch up real quick, and these costs are being passed down the chain at an alarming rate. I have some of these letters in front of me and I quote some relevant bits,'Stainless steel for instance has increased in price by over 30%'. 'Over the past 3 months we have been bombarded with price increases'. 'The price list enclosed includes a 4.9% increase that purely recovers the cost impact of recent steel price increases' and more worryingly,'Since finalising this increase we have been advised that steel prices will increase by a further 20% from July 1st, with yet another increase due in September'.
What effect will all of this have on you the customer? Well without doubt you will start to notice a broad range of price increases as most if not all the parts in your car have some steel content. Worst hit will be panel work, and that's already started. Some retailers may be slower than others to pass on the inevitable, they may be sitting on stock, or as second tier suppliers they might not be dealing directly with manufacturers so might still be unaware of the forthcoming storm!
The moral of this story, if you are planning any major bodywork in particular, get your panelwork real quick, after comparing prices of course.
Don't say I didn't tell you so!
posted by David Pearson at
4:12 pm
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