Guangdong Shoe Enterprises Gradient Pfer "Headquarters Economy" Began To Highlight

The 800 thousand and 8 million pairs are the annual output of Huajian group, China's largest female shoe manufacturer, in Vietnam and Ganzhou, Jiangxi.

Moving inland is more advantageous than moving out.

Aware of the gradual loss of Dongguan's comparative advantage and other factors, Huajian group began to try to adjust its production layout from the end of 2001, and first invested in Jiangxi to build Ganzhou Huajian international shoe city, thus breaking some of the production and moving to break the single production pattern in Dongguan.

Why did Jiangxi's production base expand rapidly in just a few years? It even approached the annual capacity of 10 million pairs of Dongguan, while Vietnam's production base almost stood still?

Zhang Huarong, chairman of Huajian group, unveiled the answer in his interview with the first financial daily: Although the average cost of Vietnamese workers is only 3/5 of China's total cost, the production cost of Vietnam's factories has not been lowered.

The shoe making materials and accessories made by Huajian shoes in Vietnam almost all have to be shipped from Dongguan. In addition, the production efficiency is relatively low, workers are not as proficient as China, and management is basically sent from China, and in the process of familiarity with local laws and regulations, they also need to spend a certain amount of manpower and material resources.

In contrast, Jiangxi has obvious advantages. On the one hand, Jiangxi Ganzhou is close to Guangdong and Guangdong Jiangxi expressway is closer to the distance between the two places. Freight pport can be completed within a day; on the other hand, the average monthly wage of Ganzhou workers is about 300 yuan cheaper than Dongguan, and is relatively stable, and the cost of hydropower is also much lower.

Zhang Huarong is very glad to get out of this step ahead of time, making use of the advantage of low production cost in Ganzhou. Huajian group is currently pushing forward the industrial gradient pfer smoothly, pferring large quantities of low-priced shoes to Jiangxi, and the high-end shoes with small quantity, difficulty and high added value remain in Dongguan processing.

Migration to the Midwest

Since 2007, under the multiple attack of export tax rebate reduction and processing trade policy adjustment, RMB continued appreciation, rapid labor cost rise and increasingly fierce competition in the footwear industry, a number of shoe factories with "insufficient internal force" have disappeared from this industry.

According to the statistics of the footwear association of Asia, about 1000 shoe factories and related enterprises in Guangdong have gone bankrupt or moved.

It is understood that originally in Dongguan for the Brazil shoe giant, a number of shoe factories supporting processing, recently moved to the Western collective shoes Chongqing Bishan.

At present, only Bishan County of Chongqing city has the production scale of about 60000000 pairs of leather shoes per year, and the relevant enterprises of shoe making have reached more than 1300, with the output value reaching 4 billion 570 million yuan, with nearly 40 brands.

Li Peng, Secretary General of the Asian Footwear Association, said in an interview with our reporter that part of the production and relocation of enterprises is one of the ways that the eastern coastal enterprises should cope with the rising manufacturing costs. More than half of the Pearl River Delta enterprises have gone to the new production lines of the Guangdong wings and the mainland or to hand over some orders to the processing plants in the mainland, and some enterprises have set up production lines to the surrounding countries in China.

"But this road is not flat. The process of shoemaking is more complicated than that of garment making, and the requirements for supporting industry are higher.

"Headquarters economy" has begun to emerge.

Li Peng also talked about taking the footwear industry in Guangdong as an example. These enterprises still stick to Guangdong's industrial upgrading while pferring part of their production.

Zhang Huarong told reporters that he is striving to expand from manufacturing to high profit research and development, brand design and sales in the industrial chain. From last year, he invested 40 million to 50 million yuan to build a world shoe industry (Asia) headquarters base in Houjie, Dongguan, and set the base as an Asian headquarters for R & D, trade, brand incubation, and logistics, to develop new materials, new products and develop new markets.