Major suppliers of building materials and furniture products in China have been forced to hike product prices several times within a month despite a sluggish real estate market. Rising costs stem from growing prices of crude oil and other commodities due to the Middle East war, squeezing margins across waterproofing, coatings, cement, and furniture sectors.
. Oriental Yuhong will hike prices of all waterproofing materials by 3% to 8% starting April 30, after an 8% to 12% increase at the end of last month. Asphalt-based waterproofing rose 5% to 10% in mid-March. The Beijing-based supplier cited asphalt up 53% year-on-year, acrylic emulsion 47%, and epoxy resin 30%. 3Trees Group will raise interior and exterior wall coatings, art paints, and other products by 3% to 25% from May 1, following earlier 5% to 15% increases on latex paints. Both firms flagged continued uncertainty in raw material pricing.
Cement suppliers in Northeast, East, and Southwest China have increased prices by about CNY10 to CNY100 per ton since mid-March. Asphalt averaged CNY4,528 per ton early this month, up 31% from early March and 23% from a year ago. For architects, contractors, and developers, these hikes directly impact project budgets for foundations, waterproofing, faรงades, and interior finishes. Cost volatility complicates tendering and value engineering for both new builds and renovation work.
The Shunde Furniture Association said cost pressure on the industry has significantly increased and finished furniture prices will likely rise. Shunde hosts the worldโs largest furniture market, with Lecong Furniture Mall housing over 3,400 dealers. Sponge, wood, hardware, and other raw materials have been rising, squeezing sales pricing for contract furniture, cabinetry, and FFE packages. If the recovery of the real estate market falls short of expectations, suppliers may face dual pressure from limited pricing power and thin profits.
For interior design and construction teams, the near-term impact is reduced bid validity and margin erosion on finish schedules and fit-out packages. Escalation clauses, early procurement, and material alternates are becoming critical for project delivery. Developers and specifiers should review waterproofing, coatings, and furniture lines for cost exposure as commodity-linked inputs remain volatile.
Image Courtesy: YICAI GLOBAL
