Americans Are Paying More for Christmas Decorations This Year. Here’s Why.
IndexBox has just published a new report: ‘U.S. – Lighting Sets For Christmas Trees – Market Analysis, Forecast, Size, Trends and Insights’. Here is a summary of the report’s key findings.
This year, Americans have to pay more for Christmas lights, as the average import price for lighting sets soared by 7% compared to the figures of 2020, reaching $3.08 per unit. The reduction in global production of lighting decorations and skyrocketed freight rates, combined with the increased cost of raw materials and energy resources, led to this spike in prices. Throughout January-October 2021, U.S.Christmas lighting set imports totaled $511M, 10% more than in the same period a year earlier. In physical terms, the volume of supplies remained nearly unchanged against 2020’s figures, while shipment from China reduced significantly.
U.S. Christmas Lighting Set Imports in 2021
The average import price for Christmas lighting sets in the U.S. soared by 7% y-o-y to $3.08 per unit. Over the ten months of 2021, the average prices of products purchased from major suppliers were the following: Cambodia ($3.10 per unit; increase of +5.0% y-o-y,), Philippines ($3.17 per unit; +25% y-o-y), China ($3.75 per unit; +5.0% y-o-y).
From January to October 2021, the U.S. imported 150M units of lighting sets worth $511M. In value terms, imports rose by +10% compared to the same period last year, while the purchases in physical terms remained nearly unchanged.
China’s supplies fell by -20% to 15.5M units or by -23% to $66.7M in monetary terms. This decrease was offset by rising imports from Cambodia, Viet Nam, Mexico, the Philippines, Malaysia, Australia, the Netherlands and Hong Kong. Compared to the same period in 2020, this year’s growths of shipments from major suppliers were the following: Cambodia (+1.4%, to 91.3М units), Philippines (+3.3%, to 24.7M units), Mexico (+2.9% to 12.7M units).
Imports from Viet Nam soared from 930K units to 3.2M units. Moreover, Malaysia, Australia, the Netherlands and Hong Kong have also significantly expanded their lighting set exports to the U.S.
U.S. Christmas Lighting Set Imports in 2020
Last year, imports of lighting sets for Christmas trees into the U.S. amounted to 149M units. In value terms, purchases shrank modestly to $479M (IndexBox estimates). The U.S. remained the largest importer, accounting for 22% of global import volume.
Cambodia ($288M) constituted the largest supplier of lighting set for Christmas trees to the U.S., comprising 60% of total imports. The second position in the ranking was occupied by China ($90M), with a 19% share of total imports. It was followed by the Philippines, with a 14% share.
The growth rate of value from Cambodia amounted to +21.5% y-o-y. The remaining supplying countries recorded the following average annual rates of imports growth: China (-36.4% y-o-y) and the Philippines (-20.1% y-o-y).
Source: IndexBox Platform