Peak Sport says order growth will stay strong

XIAMEN, Fujian - The Chinese sporting goods maker Peak Sport Products Co Ltd expects its order growth to remain strong at more than 20 percent despite its decision to raise prices by up to 10 percent in an effort to offset cost increases.

"Because of rising raw materials and labor costs, we decided to raise prices of our new products by 5 percent to 10 percent," Xu Zhihua, chief executive officer of Peak Sport, told China Daily. The company's costs increased by approximately 10 percent in 2010, he said.

Peak Sport's decision follows similar price increases by other major sporting goods manufacturers. Nike Inc said earlier this month that it will raise prices on a wide variety of products beginning in spring 2012 because of the rising cost of cotton, oil, labor and transportation.