News and Notes: Price Increases Coming And Shortages
Not the best news, but it's probably better to communicate with everyone early so there are no surprises. I received word this morning from our suppliers about projected price increases and parts shortages in the upcoming months. So I wanted to let everyone know what I'm hearing.
As you already know, computer chip shortages has been a thing for a while now. Thus far the impact on phone repair hasn't been too bad, but it looks like that is about to change. Here are the things we need to prepare for:
Price increases for replacement parts are projected over the next few months, leading up to the Chinese New Year, which is in February this coming year.
The Chinese government has been implementing electric power rationing nationwide; for how long is yet to be determined.
The power rationing has resulted in reduced production at factories across the Chinese mainland; I'm hearing that factories are running as little as two days a week, maximum five. Typically they run seven days, so production is likely to be lower. Shortages of parts are expected.
The shortages will likely lead to higher wholesale prices globally.
As of this time, CDC will maintain current prices for as long as possible, but please note that an increase in repair costs appears to be almost a certainty. I will, however, do everything possible to limit how much the increases affect overall prices. But for now, please be aware that things could get a little pricey and scarce in the next few months.
I regret any inconveniences this may cause.