Prices will rise says trailer manufacturer
January 26th 2010

Despite signs of an improvement in market conditions, trailer manufacturer Schmitz Cargobull is warning that trailer prices are likely to rise across Europe in the coming months.

The forecast price increase is, say Schmitz Cargobull, the result of spiraling raw material costs.

Aluminium, plastics and oil prices have all surged in recent months according to the firm and while Schmitz Cargobull has sought to absorb these increases by making cost efficiencies within its business, the company feels that a point has been reached where some price adjustment is inevitable.

The firm asserts that with the European commercial vehicle market diminished due to the recession, global raw material price increases has meant trading conditions have been very difficult across the industry.

Any increase in the list price of new Schmitz Cargobull curtainsided and refrigerated trailers is expected to come in to force in the second quarter of 2010.

On a brighter note, Schmitz Cargobull said there were signs the transport market is recovering and demand for new vehicles returning.

It said used vehicle stocks and leasing return stocks have already diminished drastically, especially in the temperature-controlled transport sector.

It says companies have once again started to invest in regular replacements for ageing vehicles.

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