Primary Impact identified "landed" material pricing, volumes consumed and suppliers used for 10 competitors in China and the U.S.. Plastic raw materials included PVC suspension resin, PVC copolymer resin, and low density polyethylene. Nitrile butadiene rubber, EPDM rubber, and typical plastic additives were also used. Additives such as blowing agents, chlorinated paraffins, alumina tri-hydrate, brominated chemicals, phosphates and antimony tri-oxide.
Our report showed that the client (an industry leader) received higher pricing for critical raw materials in both the U.S. and China. Competitive Chinese foam businesses often changed formulations and reduced finished foam tubing lengths to reduce finished part costs to offset rising material prices.
Market Research Report showed Competitive pricing
The client has successfully leveraged their suppliers to reduce material costs in the U.S. and has pursued alternative suppliers in China. Multiple grades and lengths of foam are now offered in China in response to competitive pressures. Click to learn more about Primary Impact's plastic industry practice.
