Five factors that determine the price of diamond segments

With the development of science and technology, the rapid development of diamond tool industry, segment price from the previous set of thousands of pieces, or even tens of thousands of pieces, slowly reduced the price. But with the impact of the new coronavirus and the international situation in 2020, segment prices will rise significantly in early 2021, what has affected the rapid rise in diamond segment prices? As a concern of stone processing plants, this paper introduces the factors affecting the price of diamond segments through five aspects, so that customers who import segments from China can better understand the reasons for the rise of this wave of diamond tools.

First: the rise of metal materials, we all know that diamond segment is a lot of metal powder in proportion and diamond mixed into the section, when the metal powder rose, such as copper powder prices have risen by more than 38%, and iron powder prices have increased by more than 30%, cobalt powder more than 35%, other metal powders have more or less upward, such an overall metal powder rise, raw materials related to metal powder commodities, In particular, the use of metal powder is very large segment, the price rise has become inevitable.



Second: the rise of diamond powder, synthetic diamond industry belongs to the high-tech industry, this industry has a high threshold for entry, rapid process innovation and so on, enterprises are profit-profitable, synthetic diamond industry companies are more willing to produce higher-margin diamond products, such as synthetic zircon, these products have a very high profit margin. For diamond segment, the need for synthetic diamond products profit is not high, so many manufacturers are in a state of production reduction. According to the principle of market supply and demand, things are rare and expensive, there is less diamond powder on the market, which naturally leads to the increase in the price of synthetic diamond.

Third: the impact of production staff wages and management costs, in China, with the development of the economy, people's income is higher, with the increase in income, enterprises also need to provide higher wages and better benefits, especially in China's rapid economic development, product prices and labor costs are closely related.

Fourth: transport costs rise, since 2020, due to the impact of the virus, many countries on the terminal container cannot be cleared in time, container operating rate dropped significantly, and many countries also closed the terminal, so many logistics companies or courier companies have a large increase in freight costs, these are the rise in route prices, for air freight and express delivery, the increase is due to a substantial increase in freight orders, supply exceeds demand, natural freight costs are also rising. For very heavy knives, the increase in freight costs is directly reflected in the rise in prices.

Fifth: This price fluctuation factor is not all manufacturers have, but for Linxing diamond tools, because the company has invested huge research and development costs year-round, to help the company's products increasingly sophisticated technology. At present, our products have reached or even exceeded the quality of peer quality products, in order to continue to maintain research and development, so that customers use better quality products, so the cost of research and development costs this block has also increased. For enterprise development, blood production capacity, continue to provide new products, can make the segment product quality is better, so that it seems to increase the price of the segment, it is to reduce the production costs of the stone factory, which is also the future direction and trend of diamond segment development.



The above five points are based on the 2021 diamond segment price increase reason analysis, of course, for many enterprises, diamond price factors should also be designed to the local investment environment, tax policy and other factors, this article is more than repeated. In the new year, Linxing Diamond Tools Co., Ltd. in line with the premise of providing customers with better products, was forced to start on March 16, 2021 to carry out product price adjustments, due to the five reasons mentioned earlier, more or less have risen.