Wesfarmers raises prices on rising freight and fuel costs
Wesfarmers is raising prices for building supplies as the Iran war drives up freight costs. CEO Rob Scott says the firm aims to limit hikes via its low-cost model.
WESFARMERS LTD is raising retail prices across its hardware and discount divisions as regional conflict impacts global freight and fuel costs. The Australia-based conglomerate, Australia's biggest non-food retailer, cited surcharges from international container shipping and domestic transport as the primary drivers for the price hikes. For investors, these adjustments test the resilience of the low-cost operating model used by Bunnings and Kmart during periods of heightened supply chain volatility.
### Supply Chain Costs Hit Building Materials Fuel surcharges from shipping lines and transport providers are forcing price adjustments on products with high petrochemical inputs. WESFARMERS LTD CEO Rob Scott identified PVC pipes and building supplies as the categories most likely to see immediate increases.
