Another electric motor company announced a price increase up 8%

Recently, another motor company SEW announced that it has started to raise prices, which will be officially implemented from July 1. The announcement shows that from July 1, 2024, SEW China will increase the current sales price of motor products by 8%. The price increase cycle is tentatively set at six months, and will be adjusted in time after the raw material market stabilizes.
SEW, or SEW-Transmission Equipment Company of Germany, is a multinational group with significant influence in the field of international power transmission. Founded in 1931, SEW specializes in the production of electric motors, reducers and frequency conversion control equipment. It wholly owns multiple manufacturing plants, assembly plants and sales service offices around the world, covering five continents and almost all industrial countries. Among them, SEW has set up multiple production bases and sales offices in China to meet the needs of the Chinese market.
In fact, since the first half f this year, with the surge in copper prices, waves of motor companies have begun to increase prices. In early May, many mainstream domestic companies urgently increased prices by 10%-15%. The following is an overview of the recent price increases of some motor companies:
Reasons for motor price increase
There are many reasons for the price increase of motor companies, but the main reason for the concentrated price increase like this year is the increase in the cost of motor raw materials . The raw materials of motors mainly include magnetic materials, copper wires, iron cores, insulating materials and other components such as encoders, chips and bearings. The fluctuation of the price of metals such as copper in raw materials has a significant impact on the motor industry. Copper wire is an important component of the motor and has good conductivity and mechanical properties. Pure copper wire or silver-plated copper wire is usually used in the motor, and its copper content reaches more than 99.9%. Copper wire has the characteristics of corrosion resistance, good conductivity, strong plasticity and good ductility, which can meet the efficient and stable working requirements of the motor.

The rise in copper prices directly leads to an increase in motor production costs . Since the beginning of this year, copper prices have soared due to factors such as limited growth in global copper mine production, tightening environmental protection policies, and the influx of funds into the commodity market under global loose monetary policies, which in turn has driven up the costs of motor companies. In addition, the rise in prices of other raw materials such as iron cores and insulation materials has also put pressure on the costs of motor companies.

In addition, the demand for motors in various fields is also increasing. In particular, motors are increasingly used in new energy vehicles, industrial automation, renewable energy, humanoid robots and other fields. The increase in market demand has put motor companies under greater production pressure, and has also provided a market basis for price increases.


Post time: Jul-11-2024