VingCard Combating Rising Prices of Base Metals Copper and Zinc
As the industry’s leading developer of electronic locks continues to introduce new, design-centric security solutions for hotels and resorts, the company will assess an 8 percent end-user price increase, from Jan1st 2007, to offset dramatic price hike for brass components in the last two years.
PARIS | With the fundamentals of demand continuing to drive the global prices of raw materials copper and zinc upward—the two base-metal components of brass—VingCard reports that for the first time in more than two years it will assess a modest increase in the end-user price of its electronic-locking solutions by 8 percent.
“Price increases are never pleasant, but when it comes to security, we refuse to diminish quality at the expense of our hotel customers and their guests,” said Arnon Alexander, VingCard executive vice president, group research and development and supply chain management. “Over the past two years, VingCard has industriously worked to improve the look and feel of its products to become more design centric and guest friendly. We’ve been able to accomplish this task without raising costs despite subsequent prices increases for the required base metals. From all indications, our efforts are appreciated as demand for these new solutions is on the rise.
“Unfortunately, with global demand for copper and zinc projected to continue to increase, and in order to continue to use these superior components to build our in-demand brass outside escutcheons and door handles, we regret that our product costs also must increase,” he said.
According to the London Metal Exchange (
The ILZSG reports that global demand for refined zinc metal will increase 3.9% over last year's demand to 11.06 million tons this year. Next year, the ILZSG expects demand to increase again to 11.35 million tons.
This demand has been and will be coming from all corners of the Earth. After falling in 2005, U.S. demand is expected to recover strongly this year with an increase of 7% over last year. Similarly in Europe, it is anticipated that demand will rise by 3.4% in 2006. Growth will be strongest in Asia where demand is forecasted to rise year over year by 9.1% in India, 4.5% in Japan, and 4.4% in the Republic of Korea.
“VingCard has a proven track record and global reputation for providing outstanding service and technology innovation,” VingCard’s Alexander said. “When it comes to security, we won’t experiment with using inferior base-metal components. No matter which style of electronic locks hotels select, our customers can rest assured that they are receiving the same security and reliability that VingCard is known for around the world.”
The world leader in hotel security technology, ASSA ABLOY Hospitality has products installed in more than 33,000 properties worldwide, securing in excess of 5.5 million hotel rooms. The ASSA ABLOY Group, a publicly listed company, is a world leader in security and hospitality systems. VingCard provides numerous electronic-locking system solutions, including traditional magnetic-stripe and smartcard systems, fully integrated PMS interface software solutions and worldwide service and support. Elsafe provides the first UL-listed (1037) hotel safe series on the market today in keypad and card-based models. Safes that include an internal power outlet to support recharging of laptops and camcorders also are available with a UL listing. Elsafe customers also enjoy the same worldwide service and support. The ASSA ABLOY Hospitality Group is dedicated to the hospitality industry. For more information on VingCard Elsafe, visit