Steel price rise presses truck makers to raise trucks prices in China

Steel price rise presses truck makers to raise their trucks prices in China. JAC, Foton, Hualing and several other major truck makers in China have raised the price now. It is learned that prices of light trucks are raised by 3,000 Yuan averagely while that of heavy duty trucks are raised around 60,000 Yuan.

It is believed that from the second quarter of 2008, major steelworks will raise steel price by 10%. Steel makes up 60% of the total raw material costs and raw material takes 30% of the total truck costs, so either to light trucks or light trucks the pressure from steel price rise is big.  Though many truck makers are still reluctant to raise price, unless raw price is down, price rise in the whole industry is inevitable.

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