Industry in flux as soaring costs bar capacity expansion

摘要

Power transformer suppliers in mainland China, Taiwan and Hong Kong are compelled to rethink their market positioning to streamline production.rnEven as Greater China retains its lead as the world's second largest producer of power transformers, trail-ing only Japan, suppliers are freezing their capacities as supply currently exceeds global demand. Compounding the situation are rising-wages, surging yuan and tightening labor supply, which are thrusting production costs to theirrnhighest in recent years. Costs of silicon steel, ferrite and copper, wires have dramatically fluctuated in the.last 24 months, while laminate and plastic costs have steadily risen.