Flender/Flender Gear Units/Helical gear Reduction Box H3
change rates. Changes in exchange rates over the period of the investigation have benefited .. producers. The real value of

the dollar reached its peak, relative to the currencies of the major world producers, during 1-8. The real value of

the Canadian dollar has since appreciated 1.5 percent against the .. dollar. The Korean won has risen 9.7 percent, the

Belgian franc appreciated 3.7 percent, and the currencies of Italy, West Germany, the United Kingdom, and Japan have appreciated approximately

5 percent While exchange rate changes generally do not correspond to equal changes in import prices, they do affect the relative competitiveness of domestic and foreign producers. In particular, the depreciation of the real value of the dollar increases the competitiveness of .. manufacturers in the domestic market While individual firms have no control over the level of the exchange rate, they can make certain decisions that will control the foreign currency price of their product. If foreign currency appreciates relative to the .. dollar, foreign firms are sometimes faced with the alternatives of raising the dollar price of their products to keep current profit margins or lowering their profit margins to protect market share. Long-term trends in gear usage suggest that the demand-side determinants of price follow the cycles 3 VDMA written response to questions of the USITC, Dec. 1 1, . 5. 7-1 of the automotive, aerospace, marine, and industrial equipment industries. Chapter 6 examines the trends in these industries. It should be noted that the automotive cycle has recently peaked whereas demand in the commercial aerospace marl. -- is increasing. There does not appear to be major substitute for gears and gear products in development. Consequently, future demand can be expected to follow the demand for the final products in which gears are component. Research and Development, Technology, and Product Quality Because of changes