Dear Valued Customers,

Greetings from CAMEI.

Recently, the ongoing instability in the Middle East has caused significant fluctuations in the global energy market. Military actions by the United States and Israel against Iran have disrupted oil facilities and affected shipping through the Strait of Hormuz, leading to tightening global oil supplies and a sharp rise in international crude oil prices.

At present, weekly gains in New York crude oil futures have reached their highest level since 1983, while Brent crude oil prices have also surged significantly. The volatility in the energy market is rapidly spreading through downstream industries and has begun to noticeably impact the bag manufacturing sector.

Many key materials used in bag production, including polyethylene (PE), polypropylene (PP), polyester, and nylon, are derived from petroleum. As crude oil prices continue to rise, the production costs of these raw materials have increased substantially. According to industry data, every USD 10 per barrel increase in oil prices raises the production cost of plastic pellets by approximately RMB 300–500 per ton.

With the cumulative oil price increase now exceeding 70%, material prices for bag manufacturing have already risen by more than 12% on average. Given the ongoing geopolitical situation, further price increases may still occur.

As a manufacturer deeply involved in the bag industry for many years, CAMEI always prioritizes product quality and has made efforts to absorb part of the rising costs internally. However, in order to maintain consistent product quality and stable delivery schedules, we may need to adjust quotations in response to fluctuations in raw material prices. We sincerely appreciate your understanding and continued support.

Important Notes for Efficient Inquiries

To improve the efficiency of inquiries and quotations, and to avoid pricing deviations caused by incomplete information, CAMEI kindly recommends that customers provide the following key details when sending inquiries.

1. Specify the Bag Type and Intended Use

Different bag types and applications require different materials and production processes. For example:

• Shopping bags require strong durability and load-bearing capacity

• Food packaging bags emphasize environmental safety and sealing performance

• Industrial packaging bags require higher puncture resistance

Clearly stating the bag type (such as three-side seal bags, stand-up pouches, or non-woven bags) and the intended application will help us quickly recommend suitable materials and manufacturing solutions.

2. Provide Detailed Size and Design Requirements

The dimensions of the bag directly affect material consumption and production costs. When sending an inquiry, please provide accurate information such as:

• Width

• Height

• Thickness

• Bottom gusset or side gusset dimensions

If there are additional features such as printing, zippers, handles, or matte finishes, please include those details as well to ensure a more accurate quotation.

3. Confirm the Material Type

There are many types of bag materials, and each differs in price and performance. For example:

• HDPE – lower cost, commonly used for garbage bags

• LDPE – better flexibility, suitable for food packaging bags

• Biodegradable materials – environmentally friendly but relatively higher in cost

If you have specific material requirements, please indicate them clearly. If not, you may simply describe the intended use, and the CAMEI team will recommend suitable material options along with pricing.

4. Indicate the Order Quantity

Purchase quantity directly influences production scale and unit cost. In most cases, larger orders lead to lower unit prices. Therefore, please provide the expected order quantity whenever possible. If the exact quantity is not yet determined, an estimated range or MOQ requirement will also be helpful.

Moving Forward Together

The rise in raw material prices is a challenge faced by the entire industry. CAMEI will continue to closely monitor global oil price trends and raw material markets, adjusting our production and pricing strategies accordingly.

We remain committed to providing reliable products, competitive solutions, and stable supply to our global partners.

Thank you for your long-term trust and support in CAMEI. We look forward to continuing our cooperation and achieving steady growth together.