It has hardly escaped anyone's attention that rising commodity prices, rising transportation costs from Asia and longer delivery times are a challenge in many industries - not least in the electronics industry.

We have not yet experienced unsolvable problems in terms of being able to deliver the desired goods and quantities within a reasonable horizon. 

Unfortunately, we are not able to avoid the rising commodity prices. A slightly declining $ exchange rate over the last year, rationalization of processes and larger purchasing volumes have taken the peak of price increases, and this has meant that so far, we have been able to make do with very limited price increases and we have maintained a very high level of delivery security.

Unfortunately, the situation with rising commodity prices does not appear to be temporary, and therefore we are forced to announce price increases on all products.

In a few cases, the price increases will be differentiated according to product type in relation to the influence of the rising component prices.

However, the price increase in general is an increase of 3,5% which apply to all orders placed from May 1st, inclusive and all deliveries after July 1st, 2021 - regardless of order date.

The situation is special, and we must hope that commodity prices stabilize.

But in the period when there is still great uncertainty about the future prices, it could also result in further price adjustments on our part.

We know that price increases are never welcome, but we hope, given the special situation, for your understanding.

 

Per Nielsen

LS Control A/S