Recently, due to the fluctuation of raw material prices, large tire manufacturers such as Bridgestone and Sumitomo Rubber are negotiating with automakers to seek to link original tire pricing with raw material prices to set a more reasonable product. price setting policy. It is understood that the pricing standards proposed by tire manufacturers are based on the price of five materials, including synthetic and natural rubber and chemical fiber. Under this mechanism, tire pricing will be carried out every 6 or 12 months. This product pricing coordination mechanism provides a reference model for component companies to ease the upward pressure on raw materials. Is this mechanism feasible in China? Especially in the early March of this year, under the background of the general increase in steel prices, can domestic parts and components enterprises learn from foreign counterparts?
Zhang Wei, director of the business development department of Dongfeng Dana Axle Co., Ltd., said in an interview with this reporter that in the zero-relationship relationship, it is very necessary to set up a product pricing coordination mechanism, but there must be a prerequisite, that is, both parties A shared cost structure and revenue agreement.
"Domestic can learn from this mechanism. If you do not make efforts in this area, the pressure of price increases will be passed on to suppliers, which will lead to a break in the supply chain and a fatal crisis of supplier system collapse." Zhang Wei introduced Dongfeng Dana The bridge is experimenting with this and is operating in the 2008 raw material price increase process. The supply and demand sides have reached an adjustment agreement by establishing a price change cost model, and after adjusting the scope, the price range is adjusted according to the model.
Product pricing power is a very important part of the zero relationship. Zhang Wei believes that in the current zero-relationship relationship, the status of component companies is relatively passive, and component companies lack the right to speak in product pricing. If the component companies and the vehicle manufacturers form a fixed pricing coordination mechanism as described above, it will be very beneficial to the healthy and orderly development of the parts enterprises.
Wang Dongping, general manager of Chengdu Chuan Machinery Co., Ltd. told reporters that the cost of risk from raw material prices can usually only be solved through internal digestion, such as reducing internal management costs. Chengdu Chuanan Machinery Co., Ltd. mainly produces and sells automobile chassis suspension, steering horizontal tie rod assembly, joint assembly, front axle arm assembly, transverse pressure rod assembly, rear axle assembly, central lever arm bushing assembly, and tension. Rod assembly, etc., its products are mainly for Hebei Changan, Nanjing Changan, Dongfeng Pan'an, Chery and other vehicle companies. Enterprises are very sensitive to price fluctuations in steel and rubber materials.
Wang Dongping believes that in the past two years, the living environment of domestic component companies has become better, especially as the core supplier of vehicle manufacturers. The OEMs have also begun to consider the interests of component companies in terms of product prices. "In this respect, Changan has done a better job. In the past two years, due to the large price increase of raw materials, enterprises have provided corresponding price subsidies to parts and components enterprises." Wang Dongping told reporters that the company had supplied more than 20 million yuan for Changan in the previous year. By the time the raw material price rose too much, Changan gave its price subsidy of 3 million yuan.
However, Wang Dongping believes that the pricing coordination mechanism of Japanese companies for this product will also vary from person to person. The Japanese automakers represented by Toyota have very detailed management of their parts suppliers. In the product pricing process, the cost calculation of the parts and components of the vehicle manufacturers is fine to the cost of scrap recycling such as packaging materials. Such strict cost control has made the profit margin of its component suppliers small, so component companies are more sensitive to the price increase of raw materials. Wang Dongping said that the management of spare parts suppliers by domestic automakers is relatively thick, and the spare parts enterprises have a large room for responding to the price hikes of raw materials, and the domestic zero-relationship relationship is not standardized, but the means for both sides to respond to market changes are more flexible.
Wang Dongping believes that there are still some resistances in the implementation of the pricing coordination mechanism in China. There are many domestic parts and components companies. For the whole vehicle companies, the management costs are too high and they consume too much energy. “In fact, many parts and components companies have considered the price increase of raw materials when pricing their products. If the price increase of raw materials is around 10%, the general parts and components enterprises can be digested.†Wang Dongping said, “The fluctuation of raw material prices Different companies have different influences. A large number of enterprises that use high-priced raw materials are affected, but the impact of less enterprises on such raw materials is relatively small."
In addition, the strength of the component companies and their importance to the OEMs also determine their bargaining power in product pricing. Vehicle companies pay great attention to some core component suppliers, and even take the initiative to give financial support. Wang Dongping believes that in the market economy, changes in the competitive landscape have a great impact on the relationship between the two sides.
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