Pricing Volatility Shows Signs of Easing

Nov 7, 2022 | Uncategorized

The combination of demand surge and supply scarcity led to price led to significant price escalation in 2020 and 2021. As additional capacity has come online and raw material costs have been subsidized, pricing is returning to more normal levels.


Market pricing has declined at a steady pace over the past 12 months

  • In Q3 of 2022, there are signs of stabilization and potentially a slight uptick in pricing
  • Majority of manufacturers continue to struggle to find equilibrium as demand softens and raw material costs escalate


China appears to be leading the charge in aggressive pricing tactics

  • Starting in July 2021, both China and Thailand dropped pricing below Malaysian counterparts and China has since intensified
  • It is a bit early to cast judgment, but product dumping could become an issue in late 2022 and early 2023


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