Cost Pressures and Quality Assurance: Focusing on Price Fluctuations in Raw Materials for Construction Machinery ("Four Wheels and One Belt")

Recently, the construction machinery parts industry has once again experienced significant fluctuations in raw material prices. As core components of the machinery's walking system, the manufacturing costs of "four wheels and one track" (track rollers, carrier rollers, idler rollers, drive sprockets, and tracks) are facing unprecedented pressure.

Since the beginning of 2026, affected by global supply chain adjustments and the continued deepening of domestic environmental protection policies, the prices of key raw materials required for manufacturing "four wheels and one track" have continued to rise. Data shows that the price indices of alloy steel, wear-resistant steel, and rare metals used to make track plates, wheel bodies, and high-strength bolts have increased significantly year-on-year. In particular, the price fluctuations of alloy steel, the main raw material for tracks, directly impact the production costs of chassis components.

High raw material prices squeeze manufacturing profits.

As the fastest-wearing and most vulnerable parts in construction machinery, "four wheels and one track" require extremely high wear resistance and tensile strength. High-quality track roller bodies require special steels such as 50Mn or 40MnB, while track chain links require high-temperature forging processes.

The recent surge in raw material prices has put many cost-control-oriented small and medium-sized enterprises (SMEs) in a dilemma. On the one hand, absorbing the costs themselves will significantly compress profit margins; on the other hand, raising finished product prices faces the challenge of gaining acceptance from end customers.

Industry Response: From Passive Price Increases to Value Reversion

In response to this round of market fluctuations, many well-known companies in the industry have successively issued price adjustment notices, with adjustments generally ranging from 8% to 15% depending on the steel consumption of their products. Unlike the simple and crude price increases in some low-end markets, companies that adhere to a quality-oriented approach tend to view this price increase as an opportunity for market reshuffling.

"Rising raw material prices have indeed put enormous pressure on our cash flow, but this is also a test of our internal capabilities," Order Chime Technology stated in an interview. "The 'four wheels and one belt' (referring to the excavator, bulldozer, and tire) directly impacts the operating efficiency and safety of the main unit. We cannot lower the steel grade or simplify the heat treatment process due to cost pressures. We are currently trying to absorb some of the costs by optimizing the material cutting process and reducing internal losses, but for costs exceeding our limits, we have to pass on the costs appropriately to ensure we can continue to provide customers with highly wear-resistant products."

Future Trends: Technological Upgrades and Supply Chain Collaboration

Industry analysts believe that this round of raw material price increases may accelerate the reshuffling of the "four wheels and one belt" industry. The space for simply relying on low-price competition and using inferior steel will be further compressed. In the future, companies with stable raw material procurement channels, core heat treatment technologies, and the ability to provide ultra-long-life products will gain more bargaining power.

For the vast majority of excavator and bulldozer users, a short-term increase in procurement costs is inevitable. However, in the long run, choosing high-quality "four wheels and one track" from reputable manufacturers, despite the higher initial purchase cost, offers a more advantageous total life-cycle cost due to its superior wear resistance and longer replacement cycle.

Faced with the ever-changing market, Order Chime Technology will continue to closely monitor raw material market dynamics. While ensuring the core performance of our products—wear resistance, pressure resistance, and impact resistance—remains unchanged, we will work hand in hand with our partners to overcome challenges and jointly maintain the healthy operation of the construction machinery aftermarket.