US media: Inflation and transportation crisis will lead to high Christmas tree prices in the United States this year. A Christmas tree about 24 meters high arrived at Rockefeller Center in New York on the 13th. National Public Radio reported on the 13th that the tree will be lit on December 1, when it will be decorated with more than 50,000 colored lights, and there will be a 400 kg star on the top with 3 million stars. Crystal composition. It is reported that the Christmas tree lighting ceremony has lasted for more than 80 years. Although this giant Christmas tree has been praised by many Americans, they themselves face the dilemma of "a tree is hard to find" at Christmas.
According to reports, inflation and the transportation crisis will cause the price of Christmas trees in the United States to rise this year, causing some varieties to fall short of demand. A forest farmer in New Hampshire, USA, said: "I have increased my cultivation costs and wage costs by more than 50%," which will cause consumers to pay at least 10% more. Some forest farms have even begun to implement an appointment system to balance enthusiastic consumers and limited labor relations.
In addition, affected by factors such as high temperature weather and frequent wildfires this summer, the Christmas tree planting industry in the United States has reduced its production by about 40% this year. O'Connor, executive director of the American Christmas Tree Association, said that labor costs continue to rise, and the accompanying increase in transportation costs also has a huge impact on consumers buying Christmas trees. Gift shop owner Reeves said that as the range of choices is becoming more limited, it is recommended that people buy popular varieties such as fir as soon as possible.
American business: Christmas business is over! Major companies have raised prices!
Although US President Biden has asked the port to work "7×24 hours" to relieve the pressure on the supply chain, to the shortage of labor represented by truck drivers, the shortage of container chassis and other major problems continue to plague the United States.
Isaac Larian, CEO of MGA Entertainment, the world's largest private toy company, even said negatively that the business in the US Christmas season this year is over.
Externally, the United States is facing crises such as the shortage of global supply chains and the skyrocketing prices of commodity raw materials; internally, the United States is facing problems such as rising debts and labor shortages. The United States predicts that supply chain bottlenecks may hinder overall economic growth in the third quarter. .
Therefore, major US companies have introduced price increases policies to ensure costs.
U.S. manufacturers have raised their prices
According to Reuters, several months of global supply chain problems have pushed up the prices of raw materials ranging from chemicals to steel, and the bottleneck period in the global supply chain may last until next year.
The largest US manufacturers, including General Motors, General Electric and 3M, are facing logistics problems and higher costs, and said they will increase pricing to neutralize cost fluctuations.
General Motors CEO Mary Barra (Mary Barra) said that the company is looking for ways to improve the efficiency of its supply chain, and the problem of chip shortages may be improved in the second half of 2022.
Motorcycle manufacturer Harley-Davidson said it has increased the pricing of surcharges in the United States to offset rising raw material costs. At the same time, inventory shortages are also squeezing its international market share.
Industrial giant 3M lowered its full-year profit forecast and said it would raise product prices to cope with inflation and supply chain pressures. The company said it is facing increased costs related to polypropylene, ethylene, resin and labor.
At the same time, the global semiconductor crisis will continue to put pressure on its automotive and electronic terminal markets.
Tesla's price adjustment increased by 30,000 yuan
Some models of Tesla's Model S and Model X have their prices adjusted.
It is reported that the guide price of the long-endurance version of the two models has ushered in an increase, with an increase of 30,000 yuan. Among them, the official guide price of Model S long-life version is 889,900 yuan, and the official guide price of Model X is 939,900 yuan.
In fact, earlier, Tesla adjusted the price of all models sold in the United States.
The price of the Model S dual-motor full-drive long-life version has been raised by US$5,000; the Model X dual-motor full-drive long-life version has also increased by US$5,000.
In addition, the price of the upgraded version of the rear-drive standard battery life of the Tesla Model 3 in the U.S. market has been raised by US$2,000, and the current price is US$43,990, which is approximately RMB 319,100;
The Model Y is a dual-motor, full-drive, long-life version that has a price increase of US$2,000, reaching US$56,990, or approximately RMB 363,800.
Procter & Gamble raises prices to cope with higher costs
Procter & Gamble recently released a report for the first fiscal quarter of 2022 as of September 30, with revenue of US$5.023 billion, a decrease of 4.89% from the same period last year;
Net profit was US$4.112 billion, down from US$4.277 billion in the same period last year. Both revenue and net profit fell.
Procter & Gamble pointed out in its financial report that market price fluctuations of commodity input materials such as resin and pulp have a direct impact on costs.
Due to energy shortages, port congestion, labor restrictions, shortages of freight containers and trucks, the company's manufacturing, supply and distribution business has been disrupted, which has also affected costs and may continue to have an impact in the future.
Procter & Gamble said, "If the company is unable to overcome these effects through pricing actions, etc., it may have an adverse impact on the company's gross profit margin, operating profit margin, net profit and cash flow."
Therefore, P&G is increasing the prices of some beauty, cosmetics and oral care products to cope with higher costs.
McDonald's raises menu prices
Fast food giant McDonald's, headquartered in Chicago, said that it will increase menu prices to keep up with the rapid rise in costs. So far this year, the wages of employees in American restaurants alone have risen by at least 10%.
McDonald’s executives said that even if they offer higher salaries, they still need to work hard to recruit more employees to provide services to customers as soon as possible and maintain business all day long.
In addition to wages, McDonald's also spent more money on paper, food and other supplies. Company executives said that the cost of commodities is expected to increase by 3.5% to 4% this year, which is higher than the 2% increase in early 2021.
According to reports, the overall increase in various costs will lead to McDonald's menu prices are expected to increase by 6% compared to 2020.
Data released by the US Department of Labor recently showed that prices in the United States soared again in September, with a year-on-year inflation rate of 5.4%, the highest level since 2008, and the year-on-year increase in CPI reached the highest level in 13 years.
Excluding volatile food and energy products, the core CPI of the United States in September rose 0.2% month-on-month and 4% year-on-year.
In the United States, in addition to McDonald’s, many other catering companies announced to increase their menu prices in order to offset the increase in employee wages and other commodity costs. Chain restaurants including Mexican restaurants Chipotle Mexican Grill, Del Taco restaurants, etc. Price to make up for the cost.
U.S. Disney raises fares
In order to dilute the cost pressure, Disney also chose to increase ticket prices.
"The Wall Street Journal" recently reported that the US Disney Resort has raised most of the ticket prices for Disneyland and Disney Adventure theme parks.
According to public information, the Disney Resort is composed of two parks, Los Angeles Disneyland and California Disney Adventure Park. It is Disney's first resort in the world and the birthplace of Disney's culture.
The report pointed out that the ticket price varies according to the length of time to enter the park, and the ticket price of a single day tour will also vary at different times of the year. The ticket price in the peak season is higher; the ticket price has almost risen across the board.
The minimum ticket price for a single-day visit to a park remains unchanged at US$104, but this price is only applicable to the minimum number of tourists, usually including the school day after school starts.
In addition, other fares have been increased. Disneyland has introduced a new top tier of fares for single-day tickets. The price was previously divided into five tiers, but now it has become a sixth tier. The new top-level single-day ticket is 164 US dollars and can be used to play in a park.
According to price data collected by Disney's travel website LaughingPlace.com, this is approximately 6.5% higher than the previous highest-level tickets.
In this regard, Disneyland said that these resorts "will provide tourists with more ticket prices to meet various travel budgets. This model is closer to dynamic pricing, which is intended to spread tourists over the week, month, and year. All time periods".
Multiple reports:
This Christmas, America is short of everything
"A tree is hard to find" for Christmas in the United States?
With soaring prices, the United States will usher in a "more expensive" Christmas?
"Yuanyuandian" announced price increases, turkey prices "take off", "more expensive...
Let’s not talk about Christmas. According to reports, when Thanksgiving Day is approaching, the United States is experiencing inflation that has never been seen in 30 years: this year a 16-pound turkey is asking for $23.99, a 24% increase from 2020; one A family Thanksgiving meal costs about $53.31, which is $6.41 more than the 2020 average of $46.9.
The US Federal Department of Labor announced before Thanksgiving that the consumer price index has risen by 6.2% in the past 12 months, food prices have risen by 5.4%, and the prices of meat, poultry, fish, and eggs have risen by an average of 11.9%.
Data from Allianz Research (Allianz) shows that compared with 2020, on Black Friday 2021, prices of toys, clothing, electrical appliances, etc. will increase by 5% to 17%. The report quoted the "Wall Street Journal" as saying that many stores are closed for Thanksgiving this year, and major retailers such as Wal-Mart no longer promote the "open door" event. Due to the increase in the price of goods, the Skyview Shopping Center in Flushing, New York did not see any crowds during the "Black Friday", and customers lamented that it was not as lively as usual on weekends.
British people feel the double pressure of supply chain and inflation before Christmas
Insufficient supply of goods, rising commodity prices, reduced holiday discounts... Before Christmas this year, British consumers have to face the dual pressures of delays in the supply chain and increased inflation.
The British business group Wine and Spirits Trade Association recently issued a statement saying that due to factors such as rising costs and chaotic supply chains, the current processing time for imported goods is several times longer than a year ago. The statement called on the British government to take "urgent action" against the shortage of heavy truck drivers and freight disruptions to avoid alcohol shortages during the Christmas period.
Gary Grant, the founder and executive chairman of the British toy retailer "Entertainer", said that the number of containers the company currently receives is about 10% less than normal. "This is something I have never seen in my 40-year toy sales career. Past situation". Grant believes that many factors contributing to this phenomenon include increased inflation, rising transportation costs and limited factory capacity.
Helen Dickinson, chief executive of the British Retail Association, said that although retailers have made great efforts to ensure Christmas supplies, the problem has not been resolved. "From farms to distribution, labor shortages throughout the supply chain are pushing up costs and causing certain shortages on shelves."
In order to solve the problem of the shortage of large truck drivers, the British government proposed a package of solutions in September this year, including providing short-term visas for foreign large truck drivers. However, many enterprises and commercial organizations believe that the government's measures are merely expedient measures and cannot solve the fundamental problem.
In addition, companies and consumers are also feeling increasingly serious inflationary pressures. According to data from the National Bureau of Statistics of the United Kingdom, affected by factors such as rising energy prices, the UK consumer price index rose 4.2% year-on-year in October, a 10-year high. The agency's chief economist Grant Fitzner believes that factors such as increased household energy costs and higher factory production costs have caused high inflation.
Paul Martin, head of UK retail operations at KPMG, said that due to rising costs and inventory pressure, “we are unlikely to see any big discounts this Christmas.”
