FIN Survey: Fastener Prices Rise More Slowly in 2005

Jason Sandefur

Both the size and frequency of fastener price increases were smaller in 2005. Just over 71% of survey participants achieved an average price increase of 11.5% in 2005, down from the 92% who hiked prices an average of 18.2% in 2004. About 2% cut prices an average of 6.5%, in contrast to no price cuts reported the previous year.
During the first half of 2006, 50% of fastener firms plan to raise their rates, while just over 6% anticipate price cuts. Nearly 32% of respondents expect stable prices over the next six months.
More than 66% of manufacturers raised prices an average of 11.9% in 2005, while more than 80% of distributors elected to hike prices an average of 11.1%.
Just over 64% of fastener manufacturers intend to increase prices an average of 5.9% in the next six months, while about 44% of distributors plan a 6.1% increase. Just over 4% plan to cut prices an average of 6.3% during the first half of 2006.
The overall average price increase in the first half of 2006 is expected to be about 6.5%, while the average price cut is pegged at 5.9%. \ �2006 FastenerNews.com