Yiwu: Why Europe'S Debt Crisis Has Not Yet Been Affected?

Judging from the statistics of foreign trade, the impact of the European debt crisis on Yiwu's commodity exports has not been revealed.

With the rapid devaluation of the euro and the gradual decline of the purchasing power of European consumers, why can Yiwu enterprises be "independent"?

When will the chain effect of euro depreciation be pmitted to Yiwu enterprises?

Which products may be the first to be affected by the crisis?

The reporter interviewed some people in the industry on relevant issues.

"No matter how the regional economic environment changes abroad, the demand of consumer goods for everyday use is also common among ordinary consumers."

Yiwu City Foreign Trade and Economic Cooperation Bureau related personages analysis, take towels, clothing, socks and so on, for example, the purchasing power of European consumers even lower, the purchase will still buy, the difference lies in the different brands, prices and grades of goods, this situation has been printed in the US financial crisis.

In terms of the product structure of Yiwu market for European exports, it is mainly based on daily consumer goods such as textiles and clothing, socks, shoes and hats and accessories. The target group covers almost the majority of European consumers.

In addition, most European countries have largely withdrawn from the labor-intensive processing industry, and the relevant daily consumer goods can not rely on their own enterprises to meet the market demand. However, because of the high cost of labor and raw materials, the existing enterprises can not gain the advantage in price. Especially in the debt crisis, the best way for ordinary consumers to cut expenditure is to buy goods from China.

Sheng Lifang, manager of China's Yiwu foreign trade network, believes that the current strong export data to Europe are from the first 4 months, and the European debt crisis intensified from May.

On the whole, Yiwu's exports in the first 4 months are mainly from European orders at the end of last year and early this year.

Now the euro has depreciated by nearly 15% against the yuan, and its impact will only be apparent in three or four months.

In addition to the exchange rate factor, the volatility of the financial and stock markets is also more obvious due to the impact of the European debt crisis, which will drag on the European economy as a whole and ultimately affect the Chinese export enterprises, including Yiwu.

Insiders predict that in the third quarter, Yiwu's export growth to Europe may decline by 6% to 7%.

Recently, Huo Jianguo, President of the international trade and Economic Research Institute of the Ministry of Commerce, said in an interview with the "financial crisis and economic recovery" symposium that, influenced by the European debt crisis, electromechanical products are likely to be affected first, on the grounds that China's exports of medium and mechanical products account for more than half.

"Mechanical and electrical products have not been the strength of Yiwu's exports to Europe, and even if they are affected, the impact on exports is very limited."

Mr. Li, who is engaged in the foreign trade of car products, told reporters that taking his company as an example, although it has some relations with the foreign trade of mechanical and electrical products, the main sales products are mainly automotive decorative products, vehicle mats and cleaning products.

Statistics from Yiwu Municipal Foreign Trade and Economic Cooperation Bureau show that there are few mechanical and electrical products exported from Yiwu to Europe in the past three years.

In addition, Portugal, Ireland, Italy, Greece and Spain, the five countries with deep debt crisis, account for a relatively small proportion in Yiwu's export market. If their debt crisis does not spread to other European countries, the impact on Yiwu's overall exports will be minimal.