Trade With China Is Becoming More Expensive

Hey guys, big News coming down the pipeline from Tongxiang of coming higher production costs on their handmade cymbals. As China becomes a bigger part of the world economy, pressure from all over the world is being felt for more regulations regarding labor and raw materials. The NPC of China is set to convene on Feb. 24th over patent laws, law on government sanctions for public employees, and laws on the prevention and control of pollution via solid waste.

With new regulation new jobs are created along with higher taxes to pay for the additional labor. Not to mention the longer wait times due to the added regulation. Along with the impact of such rules and regulations there is a continuing rise in the value and prices of raw material (such as metals, wood, etc). Even before the virus scare started, many manufacturers were struggling to keep up with the worldwide demand. Consider this article from the Metal Miner fomr November – Chinese steel, raw material prices are on the rise (https://agmetalminer.com/2019/11/21/chinese-steel-raw-material-prices-are-on-the-rise/).

Right now would be the time to take advantage of the market before the higher prices start to hit the shelves. Our contact in Tongxiang told us that they expect all new regulations are expected to take effect sometime next month. Hurry get your cymbals before time runs out!