The scale of electricity cuts in China is increasing with every passing day. For decades, China has been the economic hub and production center of the world. Lockdowns have ended, restrictions are being lifted; thus, life is getting back to normal. Now customers demand products, and manufacturers find it challenging to meet their needs due to excessive demand.
Coal prices have marginally increased due to higher checks on the usage of coal due to environmental issues. The prices have surged up to 200% from the previous year, thus making it extremely uneconomical for the coal-fired power plants to generate electricity in recent months.
At the same time, curtailment measures are further reducing the production capacity of industries. Let’s have a deeper look at what changes these curtailment measures have enforced on dealers and especially screwdriver manufacturers.
Changes Brought Under China’s Power Curtailment Rules
From 15th October, the Chinese government has allowed coal-fired power plants to charge industrial and commercial customers market-driven prices. It’s expected that some high-end consumers may end up facing a price increase at a 20% rise. Previously, a majority of manufacturers are having some sort of fixed-price deal with coal power plant operators. But with the recent laws, 100% percent market pricing will give a huge blow to the production.
In these conditions, power cuts and a rise in prices will increase the production cost of various items. Without further ado, let’s analyze the impacts of these measures on manufacturing units and industries.
Effects of China Curtailment On Manufacturing Sectors
Though these measures impact every industry, a few high-power consuming manufacturing units are facing the biggest challenge. For instance, steel and aluminum-making industries are struggling to counter the effects of these new laws, thus being forced to increase the prices of their products.
In a similar fashion, screwdriver manufacturers are finding it difficult to provide cheaper products to screwdriver wholesalers and suppliers. Analysts have feared that the Chinese’s world-leading steelmaking industry will be coerced to halt production from EAF or electric arc furnaces under these circumstances. This alone accounts for 15% of total steel production by all the industries in China. In return, prices will skyrocket, thus burdening the end-users.
A few industries are forced to rent and buy generators to meet their production requirements. But expensive generators, their operational and maintenance costs will further increase the cost of production.
In such situations, industries should consider these suggestions from experts to meet their production targets while keeping the prices low.
How Should Manufacturers React to Curtailment Measures
An increase in prices of electricity and, ultimately, industrial products is inevitable. The need of the time is to shift towards more power-saving and speedy alternatives of production.
Automated production just like Jakemy will not only reduce the labor cost but will also ensure the speedy manufacturing of industrial items. Speedy production will not only increase the per-day manufacturing capacity of industries to meet customers’ needs, but it will also reduce the power consumption, thus fulfilling the supply-demand gap.
Jakemy’s products are exceptionally high quality with the best prices in the market. All the equipment is aligned with the latest technological marvels, thus ensuring a soothing experience for the screwdriver dealers and especially for the end customers.
Additionally, Jakemy’s products work flawlessly for years to come. That’s the reason, Jakemy has one of the highest percentages of repeat customers. For instance, Jakemy’s JM-8183 screwdriver repair tool kit holds everything that any house owner or a professional can dream of in his entire life. At the same time, durability, strength, accuracy, the high magnetic force also accompanies this marvelous tool kit at a very favorable price.
The Bottom Line
In addition, creating multi-function products will further reduce the load of manufacturing multiple products. For instance, screwdriver wholesalers should prefer dual dynamic precision electric screwdrivers instead of normal screwdrivers. The screwdriver manufacturers like Jakemy have already started manufacturing such multi-purpose precision screwdrivers.
Jakemy, with the power of an automated production lineup and multi-purpose tools, has mitigated the harsh impacts of curtailment measures. The precision screwdrivers are dynamic enough to meet all the users’ household and even professional screwdriver needs. Just get in touch with Jakemy to get your OEM, ODM, or pre-manufactured screwdrivers without any delays. Here you can find tons of high-quality products to fulfill all your needs without any hassle. Click here to explore more about Jakemy’s products.