• Supply and production: There are no production disruptions or supply-chain bottlenecks from gas shortages, and raw material inventory is adequate to meet demand throughout the summer season.
• Pricing and cost pressures: Cumulative cost increases from energy labeling and commodity inflation total around 15%, translating to an effective 5% net price increase for consumers following GST adjustments, with further pressure from rising plastic prices.
• Consumer sentiment risks: Although off-take remained strong from January into early March, high market price sensitivity and geopolitical conflict pose risks to whether summer sales will reach 2024 levels.
• Market demographic dynamics: Competitive intensity is heightened because domestic manufacturing capacity has doubled demand, while over 70% of buyers purchase entry-level units and over 65% of sales come from tier 3, 4, and 5 towns.
• Summer margin protection: Margins remain protected for the summer season due to advance procurement of raw material inventory, with cost concerns primarily shifting toward the subsequent festival season.