Why do you want cheap products?

There was one customer once told me about his opinion:"We buy industrial chiller from China because we know it is not expensive, so there is no reason a Chinese brand offer me high price, I won't accept it."

Well, we always think that China are not capable of making top quality products. Honestly, I personally thought the same 3-5 years ago. But in recent years, things has obviously changed. I'm not saying that all Chinese manufacturers just hop into the rank of TOP brand, I am saying that China has a different economy environment than before. 

You can easily learn from your Chinese supplier that  cost of materials are rising for the past few months. And why is that? Because Chinese government are being more strict to manufacturers on environmental clauses, which apparently had led quite a few suppliers into shutting down. Those suppliers, in my opinion, are typical Chinese business for the past 10-20 years. They don't have high standard for production process, they live on lower cost of material and labor force. 

I am not judging these kind of manufacturers, they played their roles in the development progress of economy, like every other countries. But it seems that the economical progress is doing some screening in recent years in China. 

The same thing happens in the business of industrial chiller of course. In the past, manufacturers can always find cheaper and cheaper materials and parts to meet the low price request. But now it seems difficult for those suppliers to survive. Our factory recently received notification of price increase from almost all the suppliers, and our suppliers are all with high standard in Chinese market. 

In my opinion, the reason for their price rising is duplicate. First, the stricter government policies increase their production cost. Second, some of their competitors lost the capability to compete with them, they have more speaking right in the market than ever. 

Is this a good or bad news for our customers? I think it is a good one. When you buy a industrial chiller from China, it is definitely not just because the low price of course. The reason you think Chinese product should be cheap, is that you do not get high quality very often. No body wants to buy a cheapest equipment for his or her own factory, they just want reasonable price with correspondent quality. 

The stricter environment in China might increase the price of Chinese products a little bit, but it lowers the choice cost to a great extent. Which means you don't need to spend so much time than before to decide the quality of your supplier, and the odds you got a low quality product from them are lower as well. 

I think the answer is clear, you don't want a cheap chiller at all, you just want an industrial chiller that  the price correspond to its quality. And China is now providing better and better environment for your sourcing.