Home >

Wenzhou Enterprises: Danger And Opportunity Coexist

2012/9/28 12:34:00 20

European Debt CrisisTransformation And UpgradingTextile Industry

 

The tightening of foreign market demand has slowed the growth of China's export to the EU. Wenzhou The situation of foreign trade is no longer comparable with that of a few years ago. At present, enterprises are faced with many difficulties, such as rising raw material prices, increasing labor costs, improving export sales prices, and confusing foreign markets. What kind of countermeasures are the most effective? What are the concerns of enterprises and governments? For this reason, reporters visited Wenzhou's trade accountability agencies and some enterprises and found that finding opportunities in difficult times is their common goal.


Wenzhou City Commerce Bureau's recent survey shows that in 1-8 months of this year, the total value of Wenzhou's foreign trade and import and export amounted to US $13 billion 720 million, a decrease of 3.1% compared with the same period last year. The export was $11 billion 870 million, a 1.5% decrease over the last year, and an import of $1 billion 850 million, a 12.2% decrease over the same period. At the same time, the export market is different. European debt crisis Wenzhou's exports to the EU decreased by 10.9% over the past 1-8 months, the biggest decline in the past two years. In this regard, Su Xiangqing, director of the Wenzhou Municipal Bureau of Commerce, analyzed: "the common causes of the development of foreign trade are the external demand and the rising cost, including the appreciation of the renminbi, the surge in the cost of raw materials and manpower, and the vicious competition in the same industry under the severe situation. The lagging behind in the transformation and upgrading of enterprises and the impact of financial turmoil are the main reasons for the low level of foreign trade in our city.


It is understood that at present, there are 8051 enterprises with foreign trade management rights in Wenzhou, but there are widespread defects such as smaller monomers, less risk resisting capability, low added value of export products, weak bargaining power, especially the lack of international pricing power.


But danger always coexists with opportunities. Thus, in the face of adversity, we have stubbornly explored the way of survival, and also let some enterprises in Wenzhou begin to develop counter trend. Zhejiang Xin Yuan Industrial Co., Ltd. is the largest enterprise specializing in the production of cloth covered rubber shoes in Yongjia. All products are exported to foreign countries. Company official told reporters that in the past few years, the company's export market mainly concentrated in South America, Africa and other places. In recent years, the European and American economies have been sluggish, the purchasing power of the market has declined, the consumption of leather shoes has been greatly reduced by foreign customers, and the cheap cloth shoes have become very popular, especially in the United States and Italy. Zhou Haiqin, chairman of the company, said: "we take the best employees, who are five years old or above, to line up the shoes of Europe and America. The order has arrived in October, 1-8 months (Sales) has about 50000000 yuan.


Industry analysis, Wenzhou production Cloth shoes The phenomenon of counter trend growth, which can be called a typical "potato effect", refers to the sale of middle and low end products when consumers abandon high end products in the economic depression period, and then push the sale of high and low cost products. Statistics from the Wenzhou inspection and Quarantine Bureau showed that in the 1-8 month of this year, the total export volume of the textile surface shoes reached 150 million pairs, the value of goods was 550 million dollars, the volume and the value of goods increased by 4.7% and 13.7% respectively, and the export amount of some enterprises even increased by three times.


At the same time, the government has also increased its guidance and support to enterprises. Wenzhou City Commerce Bureau official told reporters that in the first half of the year, the government accelerated the transformation of the mode of foreign trade development, promoted the balanced development of foreign trade, promoted the declaration and approval of export bases in an orderly way, and actively guided enterprises to promote sales. In the first half of the year, it organized enterprises to participate in key international exhibitions such as Canton Fair, and further enhanced the ability of enterprises to develop the international market. Chen Jinbiao, deputy secretary and mayor of Wenzhou Municipal Committee, said that in view of the difficulties and problems faced by Wenzhou's foreign trade development, the government departments will increase investment and support to ensure that foreign trade exports achieve a 10% growth target. "We need to explore the establishment of professional small loans and small Guarantee Corporation to carry out specialized services. At the same time, we should make good use of the government's financial funds to increase support for foreign trade enterprises so as to create a good financial environment. We should reverse the trend of foreign trade growth as soon as possible and promote the transformation and development of foreign trade.

  • Related reading

China's Local Brand Blindly Rises, Causing Commodity Prices To Go Wild.

financial news
|
2012/9/28 12:23:00
13

China'S Sports Brand Is In A Stalemate In The Process Of Growth And Development.

financial news
|
2012/9/28 11:48:00
20

BASF, The World'S Leading Chemical Company, Won The Product Differentiation Excellence Award.

financial news
|
2012/9/28 11:42:00
27

Manufacturing Of Traditional Footwear: How To Develop And Develop In Competition

financial news
|
2012/9/28 11:35:00
24

Fujian Shoes And Clothing Brand: A Professional Oriented Development Direction Of The Industry

financial news
|
2012/9/28 11:29:00
39
Read the next article

BASF Shoes Material Award

Thanks to its rich expertise in the field of polyurethane, BASF successfully meets the requirements of the protective footwear market for polyurethane soles and keeps ahead in the Asia Pacific market. And recently won the product differentiation Excellence Award (protective footwear materials) issued by Frost&Sullivan, an American market research and analysis company (Sullivan).