China and India CD-R manufacturers sell media below production cost

August 11, 2004

GristyMcFisty used our news submit to tell us that Digitimes reports that CD-R manufacturers from China and India are selling CD-R discs at about $ 0.08 per disc which is according to the website below the manufacturing price. Taiwanese companies which are responsible for the largest market share are not willing to sell below the manufacturing price.

According to the Taiwan makers, including CMC Magnetics, Ritek and Prodisc Technology, competitors from China and India are quoting a price of US $ 0.08 per CD-R disc. Rather than match the price and sell at below cost, the Taiwan makers are confident they can compete for CD-R orders based on the quality of their products, they emphasized. In addition, some Taiwan makers may reduce their output.

In Europe and the US the selling price of media is of course much higher due to shipping costs and in some countries one also need to pay an additional levy. Dutch and Belgian people can buy from Luxembourgh.

Source: Digitimes