Industry Trends
Foshan Ceramic Prices Stable in Off-season
05/08/2014 / HITS：On July 15th, the Guangdong price index platform released Foshan ceramic price index of June; the collected data are the wholesale prices offered by the manufacturers to the dealers, covering 68 different products: 16 main products- plaza tiles, antique tiles, etc; 33 common products-soluble polished tiles, porcelain antique tiles, etc; 19 featured products- colorant-free plaza tiles, multi-color micro-crystal ceramic composite board, etc.
In June, total price index of ceramics is 98.57 points, with month-on-month growth of 1.52%: building ceramics index is 96.80 points，with month-on-month growth of 1.15%; sanitaryware index is 109.23 points, with month-on-month growth of 3.54%. It is the first rise for three indexes since the beginning of 2014. In terms of single product, sink prices drop most badly; and there are slight increase in polished tiles, plaza tiles and ceramic mosaics.
CTW reporters find that, prices and discounts of different brands are stable as usual. Except a few companies are doing group-purchase activities, all other companies are not engaged in price war and the product prices are barely adjusted.
In off-season, basically speaking, top brands will not lower prices, while other brands will have some small fluctuations in pricing, because top brand products are priced by the manufacturer, dealers can hardly decide anything including what kind of promotions to do. And that’s why the market barely affects top brands’ pricing.
A company tells that, they accelerate the update of product and assure product qualities to go through off-season, instead of lowering the prices.
Experts believe that the prices of ceramics in Foshan are stable for 2 reasons: on one hand, there is a lag between ceramic market and real estate situation; on the other, Foshan ceramic industry is quite mature and stable. The ceramic market will improve after September when the majority of ceramic companies complete new products release. A market manager adds that, the turnover of real estate rises instead as the prices of real estate plummet; ceramic production costs are higher and higher, either of which may also lead to the stable ceramic prices in Foshan.
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