Continued Depreciation Of The Euro Affects Sichuan Shoe Enterprises

The leaders of Sichuan shoe enterprises have encountered some troubles recently. From October 1st this year, the export of Italy products from Sichuan foundry shoe factory will be marked with origin.

However, the biggest impact on Sichuan's shoe industry is the depreciation of the euro. From last December 31st to yesterday, the appreciation of RMB against the euro has exceeded 10 percentage points, which makes Sichuan export shoes average at least more than 10 yuan per pair.

"The cost of each pair of shoes should be increased by tens of dollars," the head of Chengdu AI min Shoes Co., Ltd. told reporters at the end of May.

The reporter understands, at present, the export enterprises of the two types of industries, such as low-end textile industry and processing and manufacturing industry, are very sad. Some labor-intensive industries which have no pricing power basically have no room for price adjustment.

Faced with pressure, the Secretary General of the Sichuan footwear import and Export Chamber told reporters that the goal of Sichuan shoe enterprises has not only been in Europe, but also exported to some ASEAN and Eastern European markets. Meanwhile, Sichuan shoe enterprises began to improve their positioning and compete in the high-end market in Europe.

At present, the EU is the third largest market for footwear export in Sichuan, and more than 10 shoe companies in the province have direct business dealings with EU distributors.