The export situation is cold and chilly

The "double down" of China's import and export data in the first quarter has caused all sectors to worry about China's foreign trade situation. At the 115th Canton Fair, which was opened yesterday, many foreign trade companies also felt that “the weather was cold and chilly.” Higher production factor costs, lower exchange rates, increased international competition, and instability in Eastern Europe all contributed to the export of Chinese companies. Big difficulties.

Liu Jianjun, spokesperson for the Canton Fair Press and deputy director of the China Foreign Trade Center, said that it is expected that the number of overseas purchasers in the current session of the General Assembly will approach the level of the 113th Canton Fair held in the same period last year. Under the situation of internal and diplomatic difficulties, the price war among enterprises has also been upgraded again. Many companies even lose sales to seize the market.

Rising Production Factors Lower Gross Profits of Enterprises Lower than 2008, Yabao Road, Chaoyang District is one of the largest distribution centers for apparel export trade in China. There are 3,000 to 6,000 enterprises and individual businesses, of which 90% are engaged in export trade.

When interviewed by the vice president of Yabao Road Chamber of Commerce and the general manager of Beijing Bodak Economy & Trade Co., Ltd., and potential reporters, “Our company’s gross profit can reach 10% in the financial crisis in 2008, even up to 30%, but this year Gross profit can reach 4%-5% is already very good."

He Qian said that in recent years, factors of production have risen year after year. After the Spring Festival this year, the wages of workers in factories in the Yangtze River Delta and the Pearl River Delta have increased by 7%-8%, and the price of a raw material is also rising.

Duan Tu, a person in charge of a small-scale power generator company that sells 50 million yuan a year, also said that land prices are now soaring. Zhejiang’s land is at least 70,800 mu, and business pressure is very high.

*** Long-term appreciation market was squeezed by Southeast Asian enterprises Ten years ago, the US dollar exchange rate was about 8.2, about five years ago it was about 6.9, it is now about 6.2, although the exchange rate of *** against the US dollar has shown a slight upward trend in recent years. However, the industry expects that the continued appreciation of *** is a big trend, and the continuous appreciation of *** in the past decade has caused "Made in China" to gradually lose its price advantage.

Tu-pei products are mainly exported to Southeast Asia and Europe. He said that with the continuous appreciation of the *** in recent years, the current foreign trade enterprises in small and medium-sized mechanical and electronic companies are facing the exhaustion of profits.

“Our domestic companies now produce 50-80 yuan for a pair of jeans, which is equivalent to US$8-12 for the US dollar, but the same pair of jeans in Vietnam and Thailand has an export price of US$5-6, which is equivalent to half of ours. Now many Chinese companies Also consider moving the production bases in the Yangtze River Delta and the Pearl River Delta to Southeast Asian countries." And Qian also said.

The situation in Eastern Europe affects corporate orders down by 50%

Since February of this year, Ukraine’s political crisis has also stirred up the export markets throughout Eastern Europe.

“After the Ukrainian crisis broke out, orders involving Ukraine had been stopped by 90%, while the economic sanctions imposed by Russia and the United States on Russia were intensifying. Many Russian companies were also worried about the prospects, and then reduced the number of orders. Existing orders for Russia were also settled. Affected.” He Qian said that the transaction banks of many Chinese and Russian companies are banks in Europe and the United States. There may have been no problems in the past. However, these banks are now taking sanctions against Russia, which has caused the settlement of the transaction between the two countries.

“Eastern Europe is the largest market for Albemarle Road. Affected by the situation in Eastern Europe, orders from companies this year have dropped by 45%-50% year-on-year, and some companies have even dropped by 75%.”

In the environment of internal and diplomatic difficulties, the price war among enterprises has also been upgraded again. "This year the market is shrinking, and the cost is rising. Everyone is under great pressure. Many companies have started to drive down prices. Some companies even have to lose money to keep the market. The price war of export companies has become increasingly fierce." A staff member of the company's business department said in an interview with reporters.