Taizhou Sewing Machine Is Actively Looking For Recovery.
Editor's note
Not only is the sewing equipment industry in Taizhou, but the manufacturing industry in Taizhou is entering the critical juncture of development. It is not only Taizhou, Zhejiang, and all coastal areas, but also faced with the predicament under the macro background.
This is a universal economic phenomenon, not a particular phenomenon in which enterprise, industry or region.
Therefore, whoever first grasps the opportunity and overcomes difficulties will recover and rise step by step.
Taizhou's manufacturing industry has gone through decades of struggle without resources and lack of essential factors.
In the past, we relied on daring courage and perseverance, relying on the spirit of rising in difficulties and advancing in setbacks.
Today, we must rely on this spirit of humanity to support the rise of Taizhou.
Undoubtedly, at this stage, entrepreneurs' confidence is the most important.
Recently, our city has held a forum of entrepreneurs in various pillar industries, analyzing the situation, solving problems, encouraging morale, making suggestions for Taizhou's industrial upgrading, and encouraging the development of Taizhou's manufacturing industry.
We are surprised to see that many enterprises have responded positively to difficulties and found many ways and experiences to avoid risks. We have seen more enterprisers' optimism in the face of difficulties.
Since 14 this month, the newspaper has sent several interviews to open up the column "how to make a breakthrough in Taizhou". We have made an in-depth investigation on our sewing equipment, arts and crafts, automobile and motorcycle accessories, footwear, clothing, shipbuilding, medicine, chemical industry and other manufacturing industries. We have visited the real mentality of entrepreneurs and excavated the typical practices and experiences of the industry and enterprises in the breakout to provide reference for other industries and enterprises in our city.
Taizhou's sewing equipment industry, which is now in the summer, accounts for 1/3 output and world 1/5 production, is experiencing a "cold" which has never been seen before.
According to the data provided by the Municipal Economic Commission, the sewing equipment industry in Taizhou has gone downhill since the second half of 2007. So far, there has been no improvement. From 1 to June this year, the output value of the industry has dropped by 30% over the same period last year, and the output value of the whole industry has dropped by 13%.
Not long ago, a series of media exposure to ZOJE's major shareholder's misappropriation of funds and the leap of the group's capital chain brought some hidden worries to the troubled Taizhou sewing equipment industry.
For a time, Taizhou, which has the reputation of manufacturing Chinese sewing equipment, has become the focus of attention in the political, academic and journalistic circles.
"The difficulties facing Taizhou's sewing equipment industry are by no means a single industry problem, which is a common problem of Taizhou's manufacturing industry in the current macro context."
Pan Zhiwei, director of the Light Industry Department of the economic and Trade Commission, told reporters that since the second half of last year, the worsening of the external environment caused by the intensification of the national macro-control, the tightening of the silver dollar, the adjustment of the export tax rebate, the sharp rise in raw material and labor costs, and the appreciation of the renminbi have led to the current plight of the sewing equipment industry in Taizhou.
This does not mean the overall decline of the industry.
Pan Zhiwei, former Secretary General of Taizhou sewing equipment industry association, believes that this is just a big adjustment within the industry.
From the perspective of historical development, the sewing equipment industry in Taizhou should also go to the "shuffle" cycle of adjustment and pformation.
The sewing equipment industry in Taizhou began undertaking industrial pfer from Japan, Korea and Taiwan in China before and after the 80s of last century, and entered a period of rapid development in 2000.
In the past 8 years, the sewing equipment industry in Taizhou has achieved a breakthrough in size and quantity. By 2007, there were more than 1000 sewing equipment enterprises in Taizhou, and 5 million 500 thousand sewing machines were produced annually. The total output value of the industry reached 24 billion yuan and the export earned 500 million dollars.
Taizhou has become the manufacturing base for sewing equipment in China and even in the world.
However, the market also has a cycle of adjustment. When the hot market gradually subsided, the sewing equipment industry in Taizhou began to face the reality of overcapacity, too much expansion of the battlefront and scale. The deep-seated contradictions, such as structural imbalance, homogenization of products, lack of independent innovation and weak core competitiveness, which had been concealed due to blind expansion at the peak of the market, were gradually exposed. The low cost advantages of Taizhou sewing equipment enterprises were also challenged in the adjustment.
The more serious reality is that the biggest problem of personality in Taizhou sewing equipment industry comes from the great depression in the downstream domestic garment industry. Since the beginning of this year, macro regulation and control, especially the sharp reduction in export tax rebate, has led to the collapse of domestic garment enterprises. The demand for sewing machines in the domestic market has shrunk dramatically. This is undoubtedly exacerbated by Taizhou sewing machine enterprises, which account for half of the domestic and foreign markets.
"But the sewing equipment industry in Taizhou has already formed a strong competitive edge in the world. The industrial chain advantage here has laid the strength and foundation for the recovery of the industry. Under this background, enterprises should take the initiative to adapt to this environment and seek breakthroughs in this adjustment. I believe that in a year, we will survive the difficulties." A person in charge of the Taizhou sewing equipment industry association is full of confidence. He believes that under the present circumstances, the sewing equipment enterprises in Taizhou must do two things well: the first thing is to change the management strategy, shrink the front line, reduce some products that are not profitable or small profits, and completely change the "running volume" into "running quality"; the second thing is to practice hard, improve internal force, and benefit from internal management.
In fact, no matter how the outside world is judged, the enterprises in the front line are the main body of Taizhou sewing equipment industry to break through tight encirclement, and their confidence in this industry is the inexhaustible motive force for recovery. "Up to now, there has not been a medium-sized or above sewing enterprise in Taizhou, and the self rescue and breakout of industrial enterprises has become the biggest consensus." Pan Zhiwei said.
Our interview confirms this judgement. In from July 14th to 20th, reporters interviewed several leading enterprises in Taizhou sewing equipment industry, such as leap, ZOJE, Jack and Tongyu. Through on-site interviews and direct dialogue with entrepreneurs, we truly felt that entrepreneurs faced difficulties firmly, felt their confidence in breaking through tight encirclement and felt their passion for their career.
Leap: confidence in achieving new leap in adjustment
On the afternoon of July 17th, as soon as the reporter entered the industrial park, he saw two exceptionally striking slogans, "reform and innovation to promote development". The leap is sending a spirit of optimism, self-confidence, strength and upward to the outside world.
The words of Qiu Jibao, chairman of the group, further confirmed the feelings of reporters: "indeed, the leap has encountered unprecedented pressure, but the difficulty is temporary, and it is not as grim as the external rumors. I always believe that the development of any enterprise can not be smooth sailing, and the difficulties are not terrible. Leaps and bounds are enterprises that grow and grow with difficulties. They are also enterprises that dare to overcome difficulties and accept challenges.
This is a kind of confidence and courage to face challenges directly. All along, leaps and bounds are the pioneers of the industry. It has created many experiences and played an important exemplary role. This year, the domestic and foreign macroeconomic environment has been tightened due to the appreciation of the renminbi, the depreciation of the US dollar and the rising price of raw materials. At the same time, the downstream textile and garment industry is difficult to survive, and the demand for sewing equipment is obviously insufficient, which directly leads to a downward trend in the production and marketing of sewing enterprises. In addition, over the past few years, due to a large investment in promoting product upgrading, market expansion and brand building, the output period has not yet arrived and coincides with the tight monetary policy, resulting in greater pressure on the liquidity of enterprises.
Difficult and difficult is difficult. Leaping up and leaping over difficulties will improve. Qiu Jibao confidently said, "the difficulties encountered by leaps and bounds can be overcome through positive measures." He said that his "confidence" comes from the firm's own strong technical force, reasonable product structure, excellent staff, perfect market network, broad market prospect, strong brand influence and party organization with strong fighting capacity.
Reporters learned that at present, the leap Group has launched the "downsizing plan", including expanding the production of high value-added, Gao Lirun space products, reducing production or stopping the production of small profits, accelerating the recovery of accounts receivable, disposing of assets not related to the main business, and has achieved remarkable results. Next, they will further enhance their competitive strength and develop stamina by deepening enterprise reform and strengthening overall innovation.
Recently, the State Ministry of human resources and social security formally approved the establishment of a post doctoral research workstation by Leapfrog Group, which is another technology talent gathering platform built after leaping the only state-level enterprise technology center in the industry. In addition, leiyue Zhongke CNC System Co., Ltd., which was built by leaps and bounds together with the CAS Institute of computing, has continuously invested in a number of innovative achievements with high intellectual value and high added value with independent intellectual property rights.
Qiu Jibao said: "innovation is a new source of power for leap development. Innovation is also an inevitable choice to leap forward to meet challenges and overcome difficulties. Innovation is a powerful move to implement Scientific Outlook on Development. We will adhere to the courage of the Phoenix rebirth, the courage to regenerate, persist in technological innovation, persist in internationalization and remain unwavering in creating world famous brands. Through this round of adjustment and upgrading, we will be able to turn pressure into a driving force, turn challenges into opportunities and embark on a more robust development path. |
Jack: look forward to strong joint resources sharing
"The sewing machine industry now faces difficulties and challenges, and is also facing an opportunity for development."
In the view of Ruan Fude, chairman of Jack holding group, the adjustment of the sewing machine industry is something they already foresee.
During his interview with him, he told reporters many times about Jack's assurance of industry foresight.
As early as 2006, they explained in a work report: "no industry can continue to develop at a high speed, it must have a cycle, especially for industries with higher specialization degree, the more difficult it will be to enter the adjustment period."
It is based on this foresight that Jack still showed remarkable achievements in the period when Taizhou sewing equipment industry entered a period of great adjustment.
According to Jack's statistics from 1 to June this year, the company's exports increased by 40% in the first half of the year, which increased by 69% in June. In the first half of the year, the export prices increased by 12%, and the enterprises maintained a relatively good growth momentum.
What is Jack's support for the continued development of this industry?
Ruan Fude attributed this to their advance foresight, as well as specific measures in terms of product structure adjustment, product technology innovation, market structure adjustment, and internal management system.
This year, the price of raw materials has reduced 4% of the profits of enterprises. The increase in bank financial costs has reduced the profits of enterprises by 1.5%. The increase in labor costs has reduced the 1% profit of enterprises. The management cost and pportation cost have reduced the profits of enterprises by 2%. The export tax rebate has been reduced by 4 percentage points from last July. However, it has little impact on this year. In total, the profit reduced by enterprises is about 8.5%.
The company counteracted by a series of measures, made a contribution of 1.5% through the adjustment of the product structure, contributed 1% of the profits through technological innovation, contributed 2% of the profits through the adjustment of the market structure, settled the exchange rate through the forward settlement, reduced the risk of RMB appreciation, and contributed about 5% of the total production and meticulous management. The total profit increased by 9.5%.
The two balances, but also a slight surplus.
He has always believed that the sewing equipment industry is a sunrise industry. He believes that clothing, food, housing and clothing are very important. It will never die from the influence of the objective environment.
Sewing equipment industry is closely dependent on the garment industry. Although the macro-control has made the domestic garment industry enter a depression, the industry will soon be pferred to other regions, waiting for a new round of rising cycle. By that time, the sewing equipment industry will usher in a period of rapid development.
"The most important thing for an enterprise is to be full of letters.
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