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Dry Cleaning Hanger Costs Rising

Here at Dry Clean City of Vestavia Hills, we strive to keep you informed about garment care and dry cleaning industry trends. Unfortunately, wire hanger costs are rising due to trade penalties the U.S. has imposed on imported wire hangers. We are currently holding on our dry cleaning and laundry prices even though our supply costs are currently rising. We are posting the following article to inform you about recent events that are going to drive up wire hanger prices.

 

Your dry cleaning bill’s about to get worse If your weekly dry cleaning bill already has you cringing, brace yourself for more pain. As soon as your next pickup, prices may be higher. It’s all because of wire hangers.Parija Kavilanz June 04, 2012: 08:38 AM EDT NEW YORK (CNNMoney) – If your weekly dry cleaning bill already has you cringing, brace yourself for more pain. As soon as your next pickup, prices may be higher.

It’s all because of wire hangers. The hangers — which are a big expense for dry cleaners — are likely to get substantially costlier, after the U.S. imposed new trade penalties on hangers from Vietnam last week. In recent years, many American dry cleaners have come to rely on Vietnamese-made hangers.

Flora Yadegar, who operates four dry cleaners in California, expects her hanger costs to rise soon, forcing her to hike rates accordingly. Yadegar is already contemplating tacking on another 30 cents to 55 cents to the bill for cleaning a suit, pants or a shirt in coming days.

Because dry cleaning is a competitive businesses, Yadegar risks losing customers if she increases her prices. But she also needs to make payroll for her 30 employees.

Yadegar says the price of gas and hangers — her two biggest monthly expenses after rent — have risen in the last three years, squeezing profits. If she has to pay even more for hangers now, Yadegar isn’t sure how her business will cope.

Click here”Two dry cleaners in my neighborhood just closed. We are struggling with costs,” she said. She knows raising prices will upset some customers, but “I have to do it,” Yadegar added. “Otherwise how am I going to survive?”

Hanger suppliers say they’re facing similar pressures, and with margins slim, they’ll be forced to pass along any higher costs to their customers — the dry cleaners.

Sam Monempour, vice president of 3Hanger Supply Company, where Yadegar buys hangers for her outlets, warns that the new duties will require him to nearly double his prices to 9 cents from 5 cents each. The company buys all its wire hangers from Vietnam, and he’s pretty confident other suppliers that sell imported hangers will follow suit.

In recent years, Vietnam has become the top exporter of hangers to the U.S. In 2011, U.S. imported $31 million worth of Vietnamese hangers, up from $19.5 million in 2009, according to the Department of Commerce.

Vietnamese manufacturers have benefited from the rising cost of Chinese-made hangers, after the U.S. imposed punitive tariffs on them in 2008, said Monempour. Back then, the U.S. found that Chinese companies were “dumping” them at prices below production costs.

Please return your wire hangers to us so that we can recycle them. Recycling keeps wire hangers out of our landfills and also helps us keep our prices low.

We Are Easy On The Environment & On Your Wallet!

www.inthehamper.com

205-823-1265