Redwood furniture prices "rollercoaken" industry chaos brewing shuffle

China Paint Network
News: March 13, Beijing Dehengge mascule wood furniture Shandong District Manager Zhang Xinxuan with positioning "Beijing and Dongyang wood carving model" of mascara furniture came to Jinan, in the 2015 Northern Cultural Fair exhibition site waiting for buyers and players to arrive. Although in the description, his products are "high-end quality, low-end price", but the current market in the redwood market does not let Zhang Xinxuan such as the redwood furniture operators have the bottom of their hearts, Zhang Xinxuan told reporters, to Dehengge in Beijing, a store in the past more than 100 million sales fell to about 60 million last year, and this year can reach 50 million is good.
Redwood furniture prices fell
" in the second half of 2014, manufacturers feel good, to the end of the year after the obvious feeling is not good, and dealers in 2013 began to feel that business is not good to do. Li Zhongwei, general manager of Redwood in Jinan, said that after a surge in 2013, some of the new materials of redwood furniture collapsed at the end of 2014, nearly "slashing" compared with the highest prices, and since the end of 2014, his sales have fallen by about a third year-on-year due to the slump in the sales market. "Prices don't go up, the market is depressed and profits are getting lower and lower."
reporter learned that the redwood market since last year's cold may be directly related to the unexpected hot redwood market in 2013. It is understood that China's redwood more than 98% rely on imports. In 2013, the newly revised CITES Convention (CITES Convention on International Trade in Endangered Species of Wild Fauna and Flora) was introduced, and trade restrictions on materials such as Laos' red acid branches caused a panicked rush to buy, with the redwood market unusually hot under the frent of businesses and consumers, and a large amount of off-market funds involved in the hoarding of timber. Li Zhongwei told reporters that when raw material prices skyrocketed, the price of imported red acid branches doubled in two months. However, the unexpected situation is not an orderly boost to the market, this round of panic consumption, 2014 or more after the market purchasing power was overdrafted, "buy up not buy down" mentality also began to trigger a vicious circle. At the same time, rising labor costs have pushed up the price of redwood. Zhang Xinxuan told reporters that in recent years, redwood furniture enterprise labor costs are increasing, last year the use of a carpenter's daily expenditure of about 280 yuan, has now risen to about 350 yuan a day.
South-end stagnating mid-rise
said Fu Weilong, founder of chili wood eucalyptus brand, in addition to high-end timber prices continue to rise, redwood market demand has also seen a new adjustment, high-end consumption tends to stagnate, low- and medium-end consumer demand outbreak. "From the sales point of view, to purple sandalwood, Lao acid branch as the representative of the high-end redwood products sales are very small, and pure solid wood, newly developed wood in the thousands of yuan, tens of thousands of yuan price point of the product is recognized by ordinary people's consumption."
Fu Yulong analysis said that by the economic environment, and with the domestic anti-corruption reform, many consumers in the high-end redwood market wait-and-see attitude, and high-end gray consumption is also suppressed, which to a certain extent exacerbated the market's cold, and the low-end market, demand has been boosted, which may be mixed news for the market.
zhang Xinxuan, manager of Beijing Dehenge Mammoth Furniture Shandong District, felt the changes in the middle and low-end mammoth market, telling reporters that the original low-end consumption accounted for 50%-60% of the company's product sales, last year this proportion increased to 70%-80%. "High-end consumption is depressed, but increased demand for mass consumption, such as tens of thousands to hundreds of thousands of seats, tens of thousands of sets of dining tables, etc., are very popular."
Professional chaos brewing shuffle
Shandong Province redwood expert Zhao Baosen said that the increasingly strong consumption of the middle and low-end mahogany market on the one hand means good news, the past only in the niche market active mahogany furniture gradually into thousands of households;
" all over the country are building factories, building mamma shopping malls, the market has expanded, more manufacturers, many small factories, foreigners also followed in to do mas yet, many enterprises immature, low technology requirements, which has produced a lot of irregular production problems, such as some manufacturers Mixing different materials together to produce, expensive wood and cheap price difference can reach hundreds of times; "A senior redwood dealer in the provincial city told reporters.
Zhao Baosen said that mamco furniture pay attention to materials, shape, craft and charm, different materials of masherine price difference may be as high as dozens of times, and taking into account the mamco furniture "shape art rhyme" four points will also lead to a huge price difference between mamco furniture. "Consumers may not be able to buy good redwoods for money, but expensive ones can also be cheated." Zhao Baosen said.
The aforementioned several industry insiders agreed that the mas redwood industry is currently in the stage of roughing, with the out of the non-standard production enterprises, fine furniture, elite enterprise products and brand value will return to the right track, and gradually highlight its price advantage, then mamnowood furniture will enter a steady rise in the track. "Redwood is not only a commodity, but also a culture, fine redwood furniture is still very vital." Mr Zhao said.