We continue to see supply chain challenges for thermal transfer ribbons due to unprecedented demand, Covid-19 disruptions, increasing raw material costs and freight-related expenses.
Over the past year we have experienced cost increases for many components of our products, including cartons, cores, packaging materials, and the chemicals used to extrude PET base film. In addition, domestic and ocean freight costs have steadily risen (up 20% and 300% versus 2020, respectively) and are expected to continue. Through ongoing cost reduction and productivity improvement efforts, we have been able to mitigate some of these increases. Going forward, however, we can no longer absorb these increased costs.
Effective May 3rd 2021, we will increase pricing by an average of 7% on all thermal transfer ribbons and hot stamping foils. We value your business and are committed to supporting your needs through these unusual times.