Driven by rising international crude oil prices and sustained high costs of bulk raw materials, multiple industries—including waterproofing materials, coatings, and even furniture—have recently issued a flurry of price hike notices.

         Leading construction material companies, represented by Oriental Yuhong, have raised product prices multiple times within the year. Alongside simultaneous price increases by coating giants and cement enterprises, the upstream and downstream of the industrial chain are experiencing a round of cost-driven price restructuring, and end-market pressure is already being felt.

   1. Industry Leaders Lead the Price Increases   

         On April 16, Oriental Yuhong, a leader in waterproofing materials, sent another price adjustment letter to its customers and partners, announcing a 3%–8% increase on its engineering waterproofing products, effective April 30.

         This marks Oriental Yuhong's third price hike within the year, following two rounds of increases announced in March.

         Regarding the reasons for the increases, Oriental Yuhong stated that since February 2026, the raw materials for its products have risen substantially and remain elevated. Recent asphalt prices hover at RMB 4,400/ton, a 53% increase; acrylic emulsion stands at RMB 7,500/ton, up 47%; epoxy resin is at RMB 19,000/ton, up 30%; MDI is at RMB 26,200/ton, up 28%; and PP and PE are at RMB 9,500/ton, up 44%.

         In a recent institutional investor briefing, Oriental Yuhong explicitly addressed the price adjustments, stating that the continued rise in international crude oil prices this year has driven up the cost of core waterproofing raw materials.

         Oriental Yuhong's recently released 2025 annual report shows revenue of RMB 27.6 billion, remaining largely stable, with a gross margin of 25%, a slight decrease from the previous year. Net profit attributable to shareholders of the listed company was RMB 113 million. Although this represents a small increase over the previous year, it remains at a ten-year low. Compared to 2023, net profit has fallen by more than 90%, and its net profit margin stands at just 0.4%. In other words, despite maintaining revenue of over RMB 20 billion, the company is earning scant profit.

         In its annual report, Oriental Yuhong noted that asphalt is one of its main raw materials. During the reporting period, prices of certain raw materials, particularly asphalt, remained high overall, impacting the company's gross margin.

         Asphalt is a byproduct of crude oil refining. Generally, global crude oil supply and demand and price fluctuations directly affect asphalt production and costs. According to data from BuyHua Chemical Intelligence, as of April 2, 2026, the average domestic asphalt price was RMB 4,528/ton, an increase of RMB 1,070/ton from the previous month, or 31%, and up 23% year-on-year.

         In addition to Oriental Yuhong, other waterproofing material leaders such as Beixin Waterproof, Keshun, and Canlon have also initiated price increases this year, collectively sparking a wave of price hikes in waterproofing materials.

   2. Furniture Products May Face Price Hikes   

         The coatings industry faces a similar situation to waterproofing materials.

        Domestic coating leader SKSHU has announced two price increases this year. On March 15, SKSHU announced its first hike, increasing prices of interior and exterior wall latex paints, textured coatings, and waterproof coatings by 5%–15%, and colorful and artistic paints by 5%–10%.

         On April 17, SKSHU issued another price adjustment letter, announcing price increases of 3%–25% on various products including interior and exterior wall coatings and artistic paints, effective May 1.

         In the price adjustment letter, SKSHU also emphasized, "Given the significant uncertainty in current raw material price fluctuations, we reserve the right to adjust prices immediately and do not rule out the possibility of further increases in the future."

         On April 15, global coating giant PPG also issued a price increase letter, announcing hikes of up to 20% across its entire product range worldwide.

         In the cement industry, several leading companies have recently raised prices simultaneously, leading to higher cement prices in many regions across China.

         In the southwestern region, Linshui Hongshi Cement announced a price adjustment effective April 13, increasing prices for various cement specifications by RMB 50/ton. Chongqing BBMG Jidong Cement stated that due to continuously strengthening environmental protection efforts, cement costs have increased. It decided to raise the ex-factory price of all cement varieties sold to the Chongqing central urban area by RMB 60/ton, effective April 13. In North China, Taiyuan BBMG Jidong Cement announced an increase of RMB 30/ton for clinker ex-factory prices, effective April 15. Hebei Quzhai Cement Group also announced new price standards effective the same day, increasing prices for some products by RMB 50/ton from the original level.

         "The foam, wood, hardware, and other inputs for furniture manufacturing have also seen recent price increases, putting significant pressure on our end-product pricing," said a practitioner in the Shunde furniture industry recently.

         In April, the Shunde District Furniture Association in Foshan City issued an "Important Notice on Responding to Raw Material Price Fluctuations," calling on its members and all enterprises in the industry to "face cost realities, scientifically calculate production costs, reasonably pass on cost pressure, and avoid sacrificing material quality, simplifying processes, or cutting corners to gain a low-price advantage."

         "Due to the volatile international situation, raw material prices in the furniture industry are fluctuating, significantly increasing overall cost pressure for the industry. As raw material prices rise, furniture product prices will also fluctuate (increase) in the near future. This is a normal phenomenon," the Shunde Furniture Association stated.

         "In the short term, some adjustments can be made, but in the long run, profits are being severely squeezed due to rising costs, and end-price adjustments may be unavoidable," the furniture industry practitioner said.

         A senior executive in the home furnishing industry also noted that the industry has been highly "involutional" in recent years due to the real estate cycle. If the recovery of real estate and infrastructure demand falls short of expectations, end-market pressure will limit the scope for price increases, leaving some companies facing a dual squeeze of "difficulty raising prices and thin profit margins."