Stories
Appliance Prices Soar Ahead of Festive Season as Manufacturers Battle Rising Costs
- •Prices of large appliances like TVs, ACs, and washing machines are set to increase in October due to sustained rises in commodity and production costs.
- •Haier will raise room AC prices by 5% and other appliance prices by 2-3% from October 1; Bluestar plans an 8% hike for ACs and refrigerators.
- •Intex expects a 3-4% price increase, while LG Electronics India will hike AC prices by 5-7% starting October 1.
- •Rising input costs, including aluminum, steel, copper, and memory chips, along with the West Asia crisis impacting resin, plastic, and freight, are driving the price adjustments.
- •Manufacturers like SPPL (Thomson, Kodak, Blaupunkt) are implementing their third TV price hike in as many months, with a 7% increase expected in October.
Key Questions Answered
Appliance manufacturers are raising prices ahead of the festive season to offset soaring input costs. Haier is increasing room air conditioners by about 5 percent and LED TVs and washing machines by 2-3 percent starting October 1. Bluestar plans an 8 percent hike for ACs and refrigerators, while LG is raising air conditioner prices by 5-7 percent.
Prices are surging due to increases in raw materials like copper, aluminum, steel, resin, and plastic, compounded by rising freight expenses. Epack Durables reported that metals have driven input costs up by over 20 percent in five months, while memory chip costs have heavily impacted televisions. Additionally, the West Asia crisis has pushed up crude oil, freight, and resin prices.
SPPL plans to increase television prices by approximately 7 percent in the second week of October, marking its third consecutive monthly hike. Meanwhile, Intex intends to raise prices for large appliances like washing machines, air coolers, and ACs by 3-4 percent as raw material expenses climb.
