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The most stringent environmental rectification action is coming, forcing furniture companies to 'quietly' raise prices

In 2016, the country began to conduct environmental protection inspections. Many furniture companies thought that this environmental protection wind would blow away. Unexpectedly, in 2017, environmental protection rectifications became more and more severe. A series of environmental protection rectification actions allowed companies to see the government's environmental governance. determination.   In 2018, for the furniture industry, more stringent environmental remediation actions may be considered as the 'environmental protection tax'.  Announced the amount of environmental protection tax and the number of items in many places  6 years of legislation, two deliberations, and the 'Environmental Protection Tax Law' came into effect on January 1, 2018. At present, nearly 30 provinces (cities, districts) have successively announced the specific use tax amount and the number of items of environmental protection tax on air pollutants and water pollutants. Among them, Beijing has the highest charging standard in the country, and Jiangsu, Tianjin, Hebei, Sichuan and other provinces (cities) ) The environmental protection tax standard is 3-5 times the minimum standard; the areas with relatively strong environmental carrying capacity in Ningxia, Gansu, Jiangxi, and Jilin are equivalent to the pollution discharge fee standard; some provinces such as Shanxi, Hubei, Fujian, and Yunnan have appropriately raised the standard.   Several major furniture production areas have also determined the charging standards. In Guangdong, air pollutants are 1.8 yuan per pollution equivalent, and water pollutants are 2.8 yuan per pollution equivalent; in Sichuan, the applicable tax rate for air pollutants is 3.9 yuan per pollution equivalent, and the applicable tax rate for water pollutants is 2.8 yuan per pollution equivalent; Beijing, air pollution Applicable tax is 12 yuan per pollution equivalent, and the applicable tax on water pollutants is 14 yuan per pollution equivalent. Increase in furniture production costs. The Environmental Protection Tax Law clearly states that enterprises, institutions and other producers and operators that directly emit the four taxable pollutants of gas, water, solids and noise to the environment need to pay environmental protection taxes, including most manufacturing Industries and some of the more polluting processing industries, involving more than 5 million enterprises of various types.   The research team of the Central University of Finance and Economics predicts that the scale of environmental protection tax will far exceed the current pollution fee, and the annual collection may reach 50 billion yuan, which is nearly three times higher than the 17.3 billion levy in 2015. Professionals analyzed and pointed out that a medium-sized furniture manufacturing company with an annual output value of 50 million yuan as an example would have to pay annual air pollutant taxes, with a cumulative amount of about 60,000 to 120,000 yuan; and a water pollutant tax amount, with a cumulative amount of about 8 The tax on solid waste such as sawdust, dust, chemical waste, etc. is required to be paid at RMB 150,000 to 300,000; the tax on noise is required to be paid at RMB 50 to 200,000 per month. In summary, the annual environmental protection tax of this production company should be between 300,000 and 700,000 yuan. In the furniture industry clusters of Hebei, Guangdong, and Sichuan, the annual environmental tax of furniture companies will be higher. Coupled with the investment of 150,000 to 300,000 yuan per year in the rectification of environmental protection equipment, a total of 500,000 to 1 million yuan is spent on environmental protection each year. The investment will be a big expense for furniture companies and a huge burden for small companies.   This means that if all the 50 million yuan of corporate environmental protection expenditures are passed on to consumers, the ex-factory price of furniture will increase by at least 1% to 2%. The cost increase of this one or two points may become the last straw to crush the camel for small and medium-sized furniture companies whose net profit margin is often less than 10%.  Furniture enterprise cost is passed on to consumers  The current cost pressure facing the furniture manufacturing industry is that the labor cost has increased by up to 2.7 times, the financing cost of private enterprises has exceeded the bank's benchmark interest rate by more than twice, the logistics cost is twice that of developed countries, and the cost of raw materials has risen sharply. The increase in manufacturing costs will inevitably lead to an increase in furniture prices.   Looking at the performance reports of listed furniture companies, as early as the beginning of 2017, the market prices of furniture for many companies had risen. Since the beginning of this year, with the rise of various costs, the drama of rising furniture has been staged. In order to maintain market share, some companies try to delay price increases and reduce the rate of increase, but the continuous increase in costs has also forced these companies to join the ranks of price increases.   Careful consumers have discovered that many furniture are quietly increasing in price. For example, for a certain furniture brand sold online, although various promotional activities have been increasing in recent years, the overall price of the product has actually increased by 25%.  Consumers have taken no surprises at rising prices. As early as a few months ago, the Moments of Friends was forwarding various news about the price increase of home appliances and even home appliances in 2018. This is by no means groundless. After all, in this era, price increases are not surprising.  It is foreseeable that in the new stage of economic development, meeting environmental protection requirements will become a necessary production condition for furniture manufacturing enterprises, which will also accelerate the deep reshuffle of the furniture industry. Source: Yiou

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