US Media Said China'S Manufacturing Costs Increased, And Consumer Prices Rose.

The price of Chinese made products has much to do with the increase in labor costs. It is expected that Chinese workers will raise wages next year and American consumers will pay the bills, media reports said.

American media reported this morning that Christmas is coming soon after the western traditional festivals. Americans find that the prices of various Christmas consumer goods are rising this year, which is closely related to the rise in wages of Chinese workers.

Experts pointed out that now China's labor costs continue to rise, exporters have been unable to digest themselves, had to pass the price rise to overseas.

Change

Chinese manufacturing costs rise, US businesses have no choice but to raise prices.

The media said that after decades of low-cost consumer goods for the United States, China's role has changed radically.

The article says that the rapid economic growth and the reduction of the supply of young labor force have pushed up labor costs.

Coupled with the increase in domestic raw material prices and the strength of the renminbi due to the increase in domestic demand, "made in China" has no longer had such a big price advantage.

Over the past year, the cost of Chinese suppliers in the US retailer Michel market has risen by 15% to 20%.

Menzel expects that because Chinese suppliers are still troubled by rising costs, he will continue to struggle with the price increase next year.

American furniture company Hooke has the same trouble. In the past two years, the price of the company's purchase from China has been improving.

In September, Hooke raised its 2/3 product price by 5%.

Hooke CEO Thomas is worried that his Chinese supplier will continue to raise wages to retain workers, and his company will face more price increases.

Thomas estimates that the cost of his supplier will rise by two to 30%.

Data

US imports of Chinese goods are the biggest increase in 2008.

Statistics show that in October this year, the minimum wage in 22 provinces and municipalities in China rose by 22%, while some parts of the South have announced that they will increase by 15% in January next year to attract more workers.

Data released by the US labor department on 14 may show that the prices of goods imported from China increased by 3.9% over the same period last month, the biggest increase since 2008.

The United States imported 80% of its shoes from China in November of this year.

Media pointed out that the rise in these figures is one of the main reasons for the rise in consumer prices in the US.

Analysis

Labor costs are rising rapidly and Chinese exporters are hard to digest.

Yishan Harris, an economist at Bank of America and Merrill Lynch, points out that the wages of Chinese workers have been rising for many years, which is not new.

The difference is that labor costs have risen to the extent that Chinese exporters are unable to digest themselves, so they have to shift their prices to overseas markets, especially in labor-intensive industries.

The media finally pointed out that for US retailers, there is no need to worry about the competition brought about by price increases, because China's suppliers almost monopolize these areas, "we should go up together."

What really worries them is that American consumers may reduce their consumption because of rising prices.