Dear Partners,
Thank you for your enduring trust and support in ALLXF.
Over the past nine months, factors such as shifts in the international situation, volatility in the global supply chain, and capacity adjustments by leading enterprises in the general electronic materials sector have led to notable price hikes in certain upstream raw materials and core components. Specifically, price fluctuations have been particularly pronounced for certain storage devices, chips, and key general-purpose materials, with some categories experiencing several-fold increases.
As a product and technology supplier committed to serving industry clients over the long haul, we consistently strive to maintain a stable, transparent, and sustainable pricing system, minimizing the impact of upstream cost fluctuations on our partners’ procurement plans. Consequently, while cost increases remain within our capacity for internal absorption, we will refrain from readily adjusting product prices or simply passing on short-term fluctuations to our customers.
I. Stability: Our Fundamental Principle
In response to the current wave of upstream cost fluctuations, we will adhere to the following principles:
- Prioritize Internal Absorption of Cost Pressures
For short-term, localized, and manageable cost increases, the company will first seek to absorb them internally through supply chain optimization, inventory coordination, adjustments to production plans, and process enhancements. - Uphold Product Quality and Delivery Standards
We will not compromise on material quality, inspection standards, essential processes, or delivery reliability to maintain prices. For high-reliability products, stable quality takes precedence over short-term low pricing. - Minimize Frequent Price Adjustments
We understand the importance of price stability for bulk purchasing clients, project-based clients, and long-term partners. Therefore, the company will not frequently adjust prices due to short-term fluctuations in individual materials, avoiding disruptions to clients’ procurement plans, quotation systems, and project budgets. - Proactively Communicate Risks to Reduce Uncertainty
If upstream costs continue to rise and significantly surpass our internal absorption capacity, we will inform our partners in advance, providing time for adjustments to procurement plans and project budgets.
II. Triggers for Price Adjustments
To maintain the stability of our partnerships, we have established the following preliminary cost alert principles:
When the overall cost increase does not exceed approximately 30%, the company will, in principle, maintain existing product prices unchanged, bearing the pressure through internal operational improvements and supply chain management.
If the overall cost increase consistently exceeds this threshold and exerts substantial pressure on product production, quality assurance, delivery capabilities, and after-sales service, the company will moderately adjust prices for certain products based on actual circumstances.
It is crucial to note that price adjustments do not imply simultaneous increases across all products or immediate adjustments for all orders. We will make comprehensive assessments based on factors such as product category, material proportion, inventory status, delivery cycle, purchase volume, and cooperation agreements.
III. Price Stability and Service Assurance
We recognize that price stability affects not only clients’ procurement costs but also their project quotations, budget approvals, and delivery commitments. Therefore, in response to upstream cost increases, we will not simply resort to across-the-board price hikes. Instead, we will prioritize the following measures:
- Optimize supplier structures to identify more stable supply channels.
- Secure inventories of key materials in advance to mitigate short-term fluctuations.
- Evaluate alternative solutions for certain general-purpose materials.
- Coordinate production and procurement plans to reduce risks associated with last-minute purchases at higher prices.
- Provide more thorough price and delivery communication to long-term partners.
- Continuously optimize product structures and production costs without compromising quality or reliability.
However, we also hope our partners understand that for technical and high-reliability products, stable supply, reliable quality, ongoing after-sales support, and long-term service capabilities all require reasonable cost support. If upstream prices remain elevated for an extended period, moderate price adjustments will become necessary to safeguard product quality, delivery capabilities, and service stability.
IV. Appreciation for Your Understanding
This notice is not a formal price increase announcement but a pre-emptive risk communication based on current upstream supply chain changes.
We will continue to strive to minimize the impact of price fluctuations on our partners through supply chain management, production optimization, and internal cost control. If future price adjustments become unavoidable, we will communicate transparently, prudently, and reasonably with our partners in advance, minimizing disruptions to our collaborative plans.
Thank you for your understanding and support. We look forward to continuing to create long-term value for our partners through stable products, reliable deliveries, and sustained services.
ALLXF is committed to the continuous research and development of underlying technologies for unmanned systems, creating value for partners through technological innovation!
Its three core product lines: Multi-sensor High-performance Gimbals, Combined Pods, and UAV Swarm Formations, are favored by many outstanding intelligent equipment enterprises and research institutions due to their unique innovative concepts and product service capabilities.
- Official mall: https://www.allxf.com/
- Hardware details: https://www.allxianfei.com/
- Service details: https://www.aixianfei.com/
- R&D Base: 5th/6th/12th Floor, Building A7, Qilin Artificial Intelligence Industrial Park, Jiangning District, Nanjing
- Production Base: Building 3/1, Sino-Swiss Ecological Industrial Park, Zhenjiang New District, Zhenjiang
ALLXF possesses systematic underlying technology development capabilities for related product categories and can provide in-depth technical solutions based on private, open-source and integrated technologies.
If you have relevant technical needs, we would like to communicate further with you and welcome your visit to our company at any time!If you have any complaints or suggestions, you can directly send relevant information to suggest@allxianfei.com.
ALLXF, innovating with you!
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