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Footwear And Other Chinese Manufacturing Industries Will Usher In A New Era Of Rising Prices.

2011/4/5 17:17:00 43

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Last year, followme, Wenzhou.

footwear industry

Teng Xingbiao of limited company began to talk about the price increase with his client.

He said, "we have probably increased 10%-15% since the end of last year."

The foreign trade manufacturers of different industries interviewed by reporters said that this year there was a plan to raise 10%-15% price.

Workers increase wages, prices of raw materials and RMB appreciation.

Various costs

Rise

China's foreign trade operators, who won the price at a low price for a long time, were forced to raise their prices when profits were squeezed.

This is a passive process as well as an initiative.

Price increase

In the tide, can Chinese enterprises be able to shift the cost pressure? Obviously, the shuffle of manufacturing is inevitable, and the insisting will make "made in China" no longer cheap.

"Two years later, China's export commodities will usher in our high price era."

Teng Xingbiao said.

"What China's manufacturing industry has to do is adjust and stick to it."

Zheng Chenai, chairman of Zhejiang's Olympic apparel Co., Ltd.

Passive, because forced to do so

"The main pressure comes from three aspects."

Teng Xingbiao said, "the prices of raw materials, labor costs and the appreciation of the renminbi, these three factors make our foreign trade enterprises have to raise prices, and businesses can not help but make money."

"In one year, the raw materials have increased by four or five, and the businesses around them are the same. All walks of life are the same."

He said.

In December last year, global resources research conducted a survey. They visited 232 Chinese exporters of telecommunications products, household products, fashion accessories, garments and textiles, hardware products, sports equipment and security products. More than half of the respondents were from Guangdong Province, 19% from Zhejiang Province, and 13% from Fujian province.

The survey showed that the prices of raw materials and accessories continued to rise since last year. 33% of respondents said that the price of raw materials and accessories increased by 6% to 10% last year, while 41% of the surveyed suppliers pointed out that the price of raw materials increased by 11% to 20% or more.

After the price rises, what should we do? In the survey, 24% suppliers plan to implement a new round of price adjustment.

In addition, the rise in labor costs is also a reason why companies have to raise prices.

At the beginning of 2010, "labor shortage" began to win the headlines of China's major media.

In the middle of the year, Foxconn company (Foxconn) raised a lot of wages after a series of workers' suicides. The continuous improvement of workers' wages in mainland China has always been the focus of attention.

Later, some people began to put forward the "Lewis turning point", that is, as the rural surplus labor force in developing countries gradually reduced, the turning point of the country's wages began to rise rapidly.

Last year, Teng Xingbiao's salary for workers increased by about 10%-15%.

He said: "although helpless, but it should be, the wages of Chinese manufacturing workers have not risen for 20 years, which is unfair.

The average increase in factory wages in Wenzhou is around 10%.