Introduction
Currently, the global manufacturing industry is accelerating its transformation towards green and high-end development. As a core control component of electrical equipment, the micro switch industry is facing the challenge of sharp fluctuations in raw material prices. In response to this challenge, enterprises in the industry are actively seeking solutions by optimizing their supply chains, thereby promoting the upgrading and transformation of the entire micro switch industry.
Challenges Faced by Enterprises
The volatile prices of raw materials are constantly squeezing the industry's profits and destabilizing the supply chain. The raw materials for micro switches include precious metal contacts such as silver and copper, as well as engineering plastics like ABS, POM, and nylon. These materials are subject to significant fluctuations due to various factors such as economic conditions, supply and demand changes, and international situations.
The rising prices of raw materials have caused production costs to soar, but the selling prices cannot be increased accordingly. As a result, many enterprises are operating at a loss. Small and medium-sized enterprises, with their weaker financial strength, are unable to lock in raw material prices through long-term contracts and can only passively accept the price fluctuations. Some are already facing financial strain. Moreover, the supply of raw materials has become less reliable, with longer delivery times.
Conclusion
Measures to optimize the supply chain are gradually taking effect. Leading enterprises are building more diversified supply systems. On one hand, they are strengthening cooperation with domestic raw material suppliers to enable the domestic production of high-end materials and reduce reliance on imports. On the other hand, they are using futures trading and signing long-term purchase contracts to mitigate the risks of raw material price fluctuations.
Post time: Jan-05-2026
