Wenzhou, 6 Shoe Companies, Hot Summer In July

In the hot summer of July, Wenzhou's manufacturing industry felt cold.

"After a busy quarter, there is little profit."

Wenzhou scale shoe factory boss Xie Fucheng finally made up his mind to advertise the plant in July 1st.

A data that has been repeatedly confirmed is that Wenzhou, as the birthplace of China's manufacturing industry, is the production base of more than 30 sub sectors in the country. However, 20% of the 30 manufacturing enterprises are currently in a state of shutdown and semi shutdown. At present, more than 4 enterprises have gone bankrupt.

Forcing Xie Fucheng to go to the end is the surging production cost, labor force appreciation, raw material price increase, RMB appreciation, export tax rebate cancellation and loan interest rate increase.

And during the interview with reporters in Wenzhou, manufacturing enterprises were hit by two major strikes: at the end of June, new export barriers were encountered, and electricity prices were raised in early July.

Live or simply die?

Save yourself or save him?

Wenzhou's manufacturing industry, which is entering the throes of pain, is very confused.

Living is an extravagant hope.

Recently, Mr. Zhang, a member of the public in Wenzhou, had a headache when he looked at the local newspaper: "there are more and more information advertisements."

Many advertisements for Mr. Zhang's headache are rented for the sale of the warehouse.

Reporters randomly dialed their questions and heard the urgent voice: "the prime locations are fully equipped, ready to stay, and the price is good."

After joining Xie Fucheng, in July 1st, the reporter came to the shoe factory in Xie's industrial park. In the three storey factory building and tens of thousands of square meters of space, Xie and his two relatives remained behind, and piles of leftover materials were already moldy, and the machine was covered with dust. "Xie Fucheng"

"Now is the production shutdown, workers pay wages, no orders will be full holiday."

Xie hoped that reporters could wrap up the entire factory, including workers, and the worst would be to take the plant down.

Seeing that the reporter was not satisfied, Xie also recommended that there were two factories nearby.

On the way through the factory area near Shuang Yu Town, which is known as the Chinese shoe capital, the reporters saw that many factories were tightly closed, and the security guards in the door were listless.

The water head town of Pingyang, Wenzhou, is known as China's leather capital. It used to produce 120 million pieces of leather a day, which is 1/4 of the national output.

However, reporters at 3 p.m. in a busy street saw mostly workers wearing blue work clothes.

Just ask, we don't have any orders in the factory recently, so we don't have to go to work.

According to the data provided by the Wenzhou SME Development Association, 20% of the more than 30 SMEs in Wenzhou are in a halt or half stop state, that is, 6, and at least 4 of them have gone bankrupt.

Zheng Chenai, President of the Wenzhou clothing trade association, explained to reporters that "this is a common phenomenon made in China", but Wenzhou is undoubtedly a serious disaster area.

Zheng Chengren, this year is the most difficult year.

"Living is really a luxury."

Like Xie Fucheng, many entrepreneurs interviewed by reporters were not very sure about their living conditions.

Five big profits

What drives Wenzhou businessmen with strong vitality and extremely sensitive smell to die?

On the morning of 2 am, when reporters interviewed in Liushi, China's electrical appliances capital, they heard the most: "the prices of upstream raw materials are rising, while the prices of downstream electrical appliances are not up, and profits have been diluted."

The size of Liushi town is not large, but it has gathered 3000 low voltage electrical appliance enterprises, which are mainly distributed by CHINT and Delhi.

Pan Yu, the owner of the copper cap production enterprise, calculated the accounts to reporters: 3 years ago, the price of copper was more than 10 thousand per ton, now it is fifty thousand or sixty thousand; other non-ferrous metals, which price is not doubled?

The product is subject to terminal price but can not rise.

With the international oil price surging to 140 US dollars, the domestic oil price and electricity price have been raised. The price of raw materials has been increasing continuously. The price list of polyester yarn with oil as the primary raw material has been raised by journalists, and the price of 1 tons has increased by more than 1000 yuan.

Ruian's latest survey shows that 31 enterprises are spending more than 3 hundred million on raw materials this year.

Labor costs also rose sharply with the implementation of the new labor law.

Zhou Dewen, President of the Wenzhou SME Promotion Association, said that now every worker has to increase the cost of about 5000 yuan per year compared with the past.

This has great impact on labor-intensive industries.

Longwan Industrial Park is introducing a recruitment advertisement. It is impossible to recruit people with last year's salary. Wages are raised by hundreds of dollars and it is hard to recruit skilled workers.

The appreciation of RMB has entered the "6 era" with an increase of 20%.

It is estimated that the profit rate of the garment industry will drop by about 6% when the value of RMB rises by 1%.

The average profit of the garment industry is only 10%.

In fact, bad money also includes macroeconomic regulation and control policies.

The export tax rebate was abolished in fiscal policy, and the profits of export enterprises were directly taken away. The average business of Xie Fucheng's medium-sized enterprises is millions of dollars per year.

Under the tight monetary policy, the central bank raised interest rates 5 times in a year and raised the deposit reserve ratio 16 times. Commercial banks strictly adhered to the loan quota, making the bottleneck of financing difficulties continue to increase.

Like Wenzhou's large enterprises such as the Great Wall, cloud top and Walda, annual interest and expenditure are over million yuan.

"A pair of shoes earn 5 cents, you calculate, how much profit do we have now?"

Xie Fucheng was very excited about stopping production.

According to statistics, in the first half of this year, the production cost of Wenzhou shoe enterprises increased by 20% over last year.

Wenzhou shoe and leather industry association latest public data show that this year, a variety of factors are estimated to squeeze at least 15% of the profits of enterprises, especially foreign trade enterprises.

The average profit of manufacturing industry is about 10%.

Westward migration

"All the failures are small businesses."

Wenzhou Shoe Leather Industry Association recently released an industry analysis report: the scale of the enterprise is still "started well, production and sales booming", because they carried out market pfer earlier.

According to the reporter's interview, the manufacturing industry called locusts economy is flying to the next depression.

First from the coast to the mainland: AOKANG group westward into Chongqing, led a group of enterprises to go.

According to Li Xiaohui, sales manager of AOKANG branch, the land price is only 1/3 in Wenzhou. After reaching a certain scale, the cost can be reduced by more than 20%.

The data provided by Zhou Dewen is that Wenzhou's industrial land is currently millions of per mu, and even the land of Suzhou Industrial Park, which is a commercial venture, is only a few hundred thousand yuan.

It can be imagined in the mainland.

According to incomplete statistics of Wenzhou Statistical Bureau, in one year, there are as many as 1000 enterprises in Wenzhou.

Then many enterprises in Wenzhou moved overseas.

In April, Wenzhou hahan shoes industry and Nigeria Lagos Lai Ji free trade area signed an agreement to build an Africa's largest shoemaking base covering an area of 400 mu.

At the same time, more and more enterprises are entering Southeast Asian countries such as Vietnam or Thailand.

In June 27th, during his interview with reporters, Huang Mengfu, chairman of the National Federation of industry and commerce, who came to Wenzhou to investigate the "going out" of private enterprises, met by chance.

Accompanied by Kangnai group, Huafeng Group and other responsible persons told reporters that this year, Wenzhou manufacturing is indeed experiencing the most difficult labor pains. Enterprises must strive to survive, and "going out" is a good way.

In fact, more and less powerful enterprises are waiting for rescue.

The Wenzhou Banking Regulatory Bureau recently has been busy strengthening the credit guidance of the "banking supervision" window.

The official interviewed said: "there will be pressure to maintain, improve the quality and limit the bad, and optimize the credit structure."

Wenzhou's commercial banks recently launched a combination of clearing and financing products, such as import and export financing, to help export-oriented enterprises successfully complete import and export trade.

Wenzhou's manufacturing predicament has also attracted high-level attention.

Recently, Ma Lin, director of the import and export division of the State Administration of Taxation, went to Wenzhou to investigate tax on small and medium-sized enterprises, and other officials of the CBRC went to Zhejiang to collect policy feedback on credit.