Textile Enterprises Should Help Themselves In Dealing With Low Value-Added Trade Problems

The export volume of textile, clothing, shoes and hats and so on has declined, which has raised a red light for many domestic enterprises which are still working in low value-added trade.

There are many indications that under the heavy pressure of accelerating RMB appreciation, rising production costs and increasing trade barriers, China's export oriented enterprises will have to consider accelerating the pformation of enterprises or industrial pfer in order to anticipate the rebirth of Nirvana after the "labor pains".

A number of data show that although China's foreign trade is facing 20 years of difficulties, but some value-added products export growth rate can still maintain a good growth momentum.

According to the statistics of the General Administration of customs, the export of mechanical and electrical products is growing well in export commodities.

In the first quarter of this year, the export of mechanical and electrical products was 181 billion 370 million US dollars, an increase of 23.1%, accounting for 59.3% of the total export value of the same period.

Among them, the export of electrical and electronic products was 74 billion 310 million US dollars, an increase of 22%, and the export of high and new technology products was 92 billion 740 million US dollars, an increase of 17.4%.

When the growth rate of other foreign trade products is declining steadily, increasing the added value of products is imperative for export enterprises.

In fact, many enterprises participating in the fair have already made readjust preparations.

Liu Xin, general manager of Anhui midnight red clothing company, said that this year will be a reshuffle year, and everything will be seen in the year.

"The competition of products is the competition of enterprises' comprehensive strength."

He believes that the acceleration of industrial upgrading in China is actually a long-term good for enterprises.

Taking into account the immature textile and garment industry chain in Anhui Province, Liu Xin revealed that the company will mainly focus on the improvement of the upstream and downstream industry chain.

In addition, we will accelerate the independent research and development of products on styles and fabrics.

"Independent innovation" is a major theme of this Canton Fair. In fact, many enterprises have already tasted the sweetness of innovation.

It is understood that many enterprises' products have developed from simple imitation of foreign products to patent applications both at home and abroad, and more and more have their own intellectual property rights stage.

Faced with the increase in production costs and the deterioration of the foreign trade environment, many enterprises are beginning to develop the idea of "going out".

Especially before the relocation of the labour intensive enterprises in the Pearl River Delta area, the exhibitors of the Canton Fair must also face this problem.

In the interview, the reporters found that most enterprises still prefer to stay in the country if they go out, such as factories in less developed countries such as Vietnam and Kampuchea or to the central and western regions.

Many textile enterprises believe that the cost of land, labor and environmental protection in the eastern region has been rising. Turning part of their capacity into the central and western regions is a feasible way to maintain the cost advantage of China's textile industry.

It is understood that a group of strong companies such as Jiangsu Hua Jia silk Co., Ltd., China Silk Import and Export Corporation, Guangdong silk company and Zhejiang New Silk Road group company have invested and set up factories in the central and western regions of Guangxi and Sichuan.

"Transferring the industry to the central and western regions is our established strategy. We are very satisfied with the natural and cultural environment of Guangxi."

A person in charge of Jiangsu Hua Jia silk Co., Ltd. said.

It is understood that China's slow development of the region has launched a round of business to undertake the pfer of investment activities.

It will provide a relatively cheap labor advantage for enterprises, and will also provide preferential measures for loans and taxes.

It is also wise to increase the weight of the domestic market when the export of products is often "hitting the wall" and making no profit.

Zhu Sujun, general manager of the Department of international trade of Shanshan Group, said that the company will walk on two legs, including domestic sales and export sales, of which the domestic sales performance will be the largest, and the total export volume to the global market is not expected to decline this year.

According to her introduction, the export order of Shanshan Group is only the decline of the US market, while the European Union and other markets still have a higher growth rate.

In the first quarter of this year, their EU orders grew by more than 50%.

Meanwhile, demand in Russia and the Middle East is also increasing.

Some medium-sized textile and garment enterprises have said that they will hire designers with high visibility to plan their own brands to seize the domestic market and even the Asian market.

"This is a step that must be taken for enterprises to grow stronger."

It is understood that many household electrical appliances enterprises also said that they would increase the domestic market weight and increase sales through the pformation of sales channels.

However, some people in the industry pointed out that foreign trade export products must be taken into account in the domestic market.