Pricing Factors: Exchange Rate

Relative to the US Dollar (USD), the Taiwanese Dollar (TWD) has strengthened in recent months.

The current exchange rate of around 30TWD per USD is the strongest the TWS has been since June of 2018.

In the past 6 months, we have seen the TWD increase in strength by about 4.1% from early August of 2019 to early February 2020.

Whereas material or labor costs only affect a portion of the cost of fasteners, the exchange rate affects the cost of fasteners with a 1:1 ratio.

Uneeda tracks exchange rates daily to mitigate risk and stabilize our pricing, as about 95% of all material is purchased through Taiwan.

Overseas material is paid for upfront at the time of order, so we look to optimize ordering when exchange rates are favorable to the USD.

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