Due to disrupted supply chains, higher transport costs, and higher prices for wood, metal, and foam, price increases in IKEA stores can also be expected in Hungary, reports Pénzcentrum.
This article was originally written by our sister-site, Ungarn Heute.
The British subsidiary of IKEA announced a few days ago that it would have to raise prices due to labor shortages, raw material shortages, and disrupted supply chains caused by the coronavirus pandemic. The portal contacted IKEA’s Hungarian subsidiary, and their response indicated that IKEA had tried to mitigate the difficulties and compensate for the increased costs since the beginning of the the pandemic, but the company had not been able to cover the increased costs.
“Unfortunately, we are not immune to macroeconomic developments. Therefore, in the next few weeks, we will also increase the prices of our products worldwide, for the first time since the global price hikes began.”
However, the company adds that “since we are unable to provide details on the average extent of the price correction, we can confirm that the prices of many of our products will remain unchanged, but also that prices of the majority of our portfolio will increase in line with higher raw material prices and supply chain costs.
The increase will therefore affect all product ranges and all countries, but will vary significantly from country to country (“due to different cost situations of each country”). On a global average, prices are expected to rise by 9%, 24rhein.de recently reported.
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